Blake Lively can seek legal fees but no damages in Justin Baldoni defamation case, judge rules

Blake Lively can recover her legal fees from her “It Ends With Us” co-star Justin Baldoni’s production company, but she is not entitled to additional damages for harm caused by his defamation claims, a federal judge ruled Friday.

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U.S. District Judge Lewis J. Liman dismissed Baldoni’s defamation and extortion lawsuit against Lively last year, but she was allowed to move forward with a request for financial damages under a California #MeToo-era law.

In Friday’s ruling, Liman wrote that the court “leaves the door open” to Lively seeking damages “by other means (like an independent lawsuit or a counterclaim), including in federal court.”

Representatives for Lively and Baldoni did not immediately respond to requests for comment.

Lively and Baldoni settled their yearslong legal dispute in early May. Terms of the settlement were not disclosed. A source familiar with the matter previously confirmed to NBC News that no money changed hands.

The settlement headed off what had promised to be a high-profile trial in New York.

Lively accused Baldoni of sexual harassment during the production of the 2024 movie “It Ends With Us,” which he directed. Lively has also alleged that Baldoni’s company, Wayfarer Studios, retaliated against her after she complained about allegations of misconduct on the set of the film.

Baldoni vehemently denied Lively’s claims.

In January 2025, Baldoni countersued Lively and her husband, “Deadpool” actor Ryan Reynolds, alleging defamation and extortion. He argued that Lively and Reynolds tried to wreck his reputation and accused her of using her grievances as a way to “seize control” of the movie.

Baldoni also brought a defamation suit against The New York Times over an article headlined: “‘We Can Bury Anyone’: Inside a Hollywood Smear Machine.”