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. 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.” Esra Hudson & Michael Gottlieb, attorneys for Lively, said their client “won her motion under Civil Code Section 47.1.” “Today’s ruling makes it clear that Ms. Lively brought her claims in good faith, that there was no evidence she acted with malice, and that she is the prevailing defendant under Section 47.1,” they said in an email statement. “The Court is awarding Ms. Lively attorneys’ fees and costs and has explained that a prevailing defendant under Section 47.1 may seek damages using different procedural mechanisms,” their statement continued. “The parties’ settlement agreement expressly preserves Ms. Lively’s rights to obtain those damages. Ms. Lively is gratified that her lawsuit shows how Section 47.1 and laws like it create a path for survivors to hold accountable those who weaponize online attacks and retaliatory lawsuits to intimidate and silence survivors.” A representative for Baldoni did not immediately respond to request 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 had 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.” Liman tossed out both suits last year.