Blake Lively returns to court to reignites legal war with Justin Baldoni
Despite a settlement bringing her initial dispute with the director to a close, the actress is now pursuing financial penalties and legal costs following the dismissal of her blockbuster defamation lawsuit against Justin Baldoni.
Blake Lively is returning to court in the latest chapter of her long-running legal battle with Justin Baldoni.
The 38-year-old Gossip Girl and A Simple Favor actress is due back before a federal judge in Manhattan on Monday (01.06.26), despite the wider dispute between her and filmmaker Justin, 42, having already been settled.
Blake is seeking legal fees, costs, punitive damages and additional compensation from Justin, her co-star and director on It Ends With Us.
The latest dispute stems from a series of lawsuits filed following the release of the film in August 2024.
Blake’s case attracted intense attention in Hollywood and beyond, with the actress’ A-list husband Ryan Reynolds and The New York Times also named in Justin’s $400 million defamation action.
Court documents state Blake is now seeking damages under a California law introduced in 2023.
Her attorney, Michael Gottlieb, argued in a legal filing the legislation permits “severe and mandatory penalties against any party who files unsuccessful retaliatory defamation actions against sexual harassment and retaliation complainants”.
According to the filing, Blake’s claim is based on provisions designed to protect individuals who come forward with allegations of misconduct from retaliatory legal action.
Mr Gottlieb wrote: “The California Legislature intended for (the law) to deter litigation that would otherwise force survivors to defend against a long and expensive retaliatory defamation lawsuit by imposing ‘significant remedies for successful defendants in defamation claims.’”
He also described Justin’s legal action as the “prototypical suit” the legislation was designed to address.
Mr Gottlieb added: “Thus, as the prevailing defendant, Ms Lively is entitled not just to attorneys’ fees and costs, but also compensatory damages tripled, and punitive damages.”
The hearing will take place in federal court in Manhattan, with each side expected to receive 30 minutes to present arguments.
Neither Blake nor Justin is expected to attend in person.
The pair’s initial legal dispute began after Blake sued Justin, alleging sexual harassment and accusing him of orchestrating a “smear campaign” following her complaints about alleged conduct during the production of It Ends With Us.
Justin subsequently filed a $400 million defamation lawsuit against Blake, Ryan and The New York Times in January 2025, arguing the allegations against him were false.
According to reports, the lawsuit was later dismissed because Blake’s original allegations had been made to the California Civil Rights Department and were therefore considered privileged communications.
The legal fight has reportedly generated enormous costs, with estimates suggesting both sides have collectively spent around $60 million on lawyers throughout the dispute.
The case has also prompted debate among legal experts regarding the broader implications of the California statute.
Dustin Pusch, a lawyer specialising in First Amendment cases, told The New York Times: “If you’ve been falsely accused of something as serious as sexual assault, sexual harassment, and you actually feel you have a strong lawsuit, this law is going to make you think twice about taking this to court and trying to defend your reputation.”
According to reports, another unusual feature of the proceedings is that once the judge issues a ruling, neither side will have the right to appeal the decision.
The hearing is expected to determine whether Blake is entitled to damages and legal costs following the dismissal of Justin’s defamation claim.