Blake Lively And Justin Baldoni’s Legal Fight Isn’t Over: Actress Seeks Damages

BreakingBusinessBlake Lively And Justin Baldoni’s Legal Fight Isn’t Over: Actress Seeks DamagesByConor Murray,Forbes Staff. Murray is a Forbes news reporter covering entertainment trends.Follow AuthorMay 07, 2026, 04:25pm EDT--:-- / --:--This voice experience is generated by AI. Learn more.This voice experience is generated by AI. Learn more.ToplineBlake Lively and Justin Baldoni’s sprawling legal battle isn’t over, despite the parties announcing earlier this week they had reached a settlement agreement, as Lively’s lawyers say she intends to seek damages under a California law that was passed to protect accusers of sexual misconduct from retaliatory defamation suits.Lively and Baldoni announced a settlement earlier this week. (Photo by ANGELA WEISS / AFP via Getty Images)AFP via Getty ImagesKey FactsLively’s lawyers said in a court filing Thursday all parties have “fully and finally resolved all claims in the Consolidated Action, except one,” referring to Lively’s claims for attorney’s fees and damages under the California law.Earlier this week, the “It Ends With Us” stars announced they had finally reached a settlement in the legal saga that began at the end of 2024, as Lively accused Baldoni of sexual harassment and orchestrating a retaliatory smear campaign against her, and Baldoni accused Lively of defamation.Reports said Lively did not earn any money as part of the settlement agreement, but if her claim under California law for damages succeeds in court, Deadline reported she could earn damages in the millions. Thursday’s court filing says the California law, Civil Code Section 47.1, imposes “severe and mandatory penalties” against anyone who files “unsuccessful retaliatory defamation actions against sexual harassment and retaliation complainants.”Lively’s lawyers claimed in the filing that Baldoni’s defamation suit was retaliatory and that it satisfies “all elements” of the law to entitle Lively to damage payments.Forbes has reached out to lawyers representin...