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Judge Dismisses Most Claims in Blake Lively Lawsuit Against Justin Baldoni; Trial Set for May on Retaliation and Contract Claims

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Legal Dispute Between Blake Lively and Justin Baldoni Resolved

A federal judge in Manhattan dismissed 10 of 13 claims in actress Blake Lively's lawsuit against director and co-star Justin Baldoni, allowing three to proceed to trial before the parties reached a settlement.

Court Ruling

The judge dismissed claims including sexual harassment, defamation, and conspiracy. The decision to dismiss the harassment claims was based on two primary factors:

  • Independent Contractor Status: The court determined that Lively was an independent contractor, not an employee, of the film's production. This classification precluded her from bringing sexual harassment claims under Title VII of the Civil Rights Act of 1964, which prohibits employment discrimination.

  • Context of Filming: In analyzing the specific allegations of on-set conduct, the judge stated that the actions must be viewed within the context of filming a movie scene. The judge acknowledged that while certain conduct might typically support a hostile work environment claim in a standard workplace, the alleged actions were part of acting a scene and were not considered beyond what might be reasonably expected between two characters in a slow-dancing scene. The ruling emphasized that creative artists require space to experiment within an agreed script.

Claims Proceeding to Trial

The court permitted three claims to proceed to trial:

  • Breach of Contract: Alleging a breach of a contract rider agreement against It Ends With Us Movie LLC.
  • Retaliation: Alleging retaliation by Baldoni's production company, Wayfarer Studios, after Lively raised concerns about on-set conduct.
  • Aiding and Abetting in Retaliation: Alleging that a PR firm working for Baldoni aided and abetted in the retaliation.

The judge indicated that some incidents, while not constituting sexual harassment themselves, could be presented as supporting evidence for the retaliation claims. These included an alleged comment by Baldoni after Lively removed her jacket, his reported advocacy for filming a birth scene without closing the set, and a comment about Lively's personal experience with pornography.

Allegations and Defense

Lively's Allegations

Lively's initial complaint, filed in December 2024, accused Baldoni of fostering a hostile work environment on the set of It Ends With Us. Her legal team alleged that she was "kissed, nuzzled and touched" without consent. Lively also alleged that after she raised concerns, Baldoni and Wayfarer Studios orchestrated a "smear campaign" against her to damage her reputation. She claimed this campaign resulted in significant financial losses.

Baldoni's Defense

Baldoni denied the allegations. His legal team argued that Lively was aware the film would contain intimate scenes and that the conduct in question was part of the creative process. Baldoni's attorneys emphasized that the court's dismissal of the harassment and other claims significantly narrowed the case. Baldoni and Wayfarer Studios had previously filed a $400 million countersuit against Lively and her husband, Ryan Reynolds, alleging defamation and extortion. This countersuit was dismissed by the judge in June.

Legal Timeline and Key Events

Date Event December 20, 2024 Lively filed a complaint with the California Civil Rights Department December 31, 2024 Lively filed a federal civil lawsuit against Baldoni Late February 2025 Lively filed an amended complaint, adding defendants including the CEO of Wayfarer Studios Early February 2025 A court-ordered settlement conference between Lively and Baldoni was unsuccessful June 2025 Judge Liman dismissed Baldoni's countersuit against Lively, Reynolds, and their publicist, as well as Baldoni's defamation suit against The New York Times April 2, 2026 (Ruling Date) Judge Liman dismissed 10 of Lively's 13 claims. A trial for the remaining claims was scheduled for May 18 May 4, 2026 (Settlement Date) Lively and Baldoni reached a settlement, avoiding the trial

The terms of the settlement were not publicly disclosed, though multiple outlets reported that no money was exchanged between the parties. The settlement allowed Lively to continue pursuing a motion for attorneys' fees and related damages under a California law protecting sexual harassment reporters from retaliatory defamation suits.

Statements Following the Ruling and Settlement

Lively's Legal Team

Lively's attorney, Mike Gottlieb, stated that the court's dismissal of some claims was based on legal technicalities rather than an endorsement of the defendants' conduct. Following the settlement, Lively's attorneys described it as a "resounding victory" and stated that the defendants had admitted Lively's concerns "deserved to be heard."

Baldoni's Legal Team

Attorney Bryan Freedman expressed satisfaction with the dismissal of the sexual harassment claims, noting the case had been "significantly narrowed." Freedman later stated that Baldoni was "ecstatic" with the settlement outcome.

Film Background

It Ends With Us, an adaptation of Colleen Hoover's 2016 novel, was released in August 2024. The film stars Lively as a flower shop owner whose husband, a neurosurgeon played by Baldoni, subjects her to physical and emotional abuse. The film was commercially successful, grossing over $350 million worldwide. Its release was accompanied by public speculation of discord between Lively and Baldoni.