Legal Dispute Verdict Allows Blake Lively to Recover Some Legal Fees

Blake Lively, the well-known actor, can recover certain legal costs from fellow actor and director Justin Baldoni following their legal dispute over the 2024 film “It Ends With Us.” However, she cannot obtain punitive damages or other relief she pursued, according to a ruling made by Judge Lewis J. Liman.

The judge’s decision allows Lively to regain legal expenses related to defending against a countersuit Baldoni filed after her December 2024 lawsuit against him. Liman referred to a California law that aims to protect survivors of sexual harassment and discrimination from retaliatory lawsuits intended to intimidate them.

This law requires plaintiffs to cover defendants’ legal fees if a defamation claim is dismissed, irrespective of whether the case facts are fully examined. The ruling noted that Baldoni and his production company, Wayfarer Studios LLC, presented no evidence indicating malice in Lively’s claims.

Although the judge rejected Lively’s attempt to triple damages or pursue punitive damages, both sides viewed Liman’s decision as a partial victory. Lively and Baldoni resolved most of their dispute before a trial on retaliation claims. She received no monetary compensation but retained the ability to pursue legal fees.

Michael Gottlieb and Esra Hudson, Lively’s lawyers, stated that receiving legal fees affirmed Lively’s good faith in her claims and lack of malicious intent. Bryan Freedman, Baldoni’s lawyer, emphasized that Lively’s demand for $300 million was unsuccessful, and many of her claims were dismissed before the settlement.

Lively accused Baldoni and his company of sexual harassment and retaliation in late 2024, alleging an orchestrated effort to harm her reputation. Baldoni denied these accusations, asserting that Lively’s complaints were fabricated to seize creative control of the film. His countersuit, accusing Lively and her husband, Ryan Reynolds, of defamation and extortion, was dismissed last year. Furthermore, Lively’s sexual harassment claims were dismissed as she was deemed an independent contractor, not an employee on the movie set.

“It Ends With Us,” directed by Baldoni and starring him and Lively, was released in August 2024. The film, adapted from Colleen Hoover’s 2016 novel about a troubled relationship, surpassed box office expectations.

Lively gained fame from her roles in “The Sisterhood of the Traveling Pants” and the TV series “Gossip Girl.” Baldoni, known for his role in “Jane the Virgin,” directed “Five Feet Apart” and authored “Man Enough,” examining masculinity.