A federal judge on Thursday signed off on the settlement between Blake Lively and Justin Baldoni in their long-running legal dispute. But it appears the “It Ends With Us” saga isn’t over just yet.
“The parties have fully and finally resolved all claims in the consolidated action, except one,” Lively’s lead attorney Michael Gottlieb wrote in a letter filed in Manhattan court on Thursday.
An exemption in a notice of settlement, which was filed by both parties, states that Lively is seeking legal fees from Baldoni and his partners over a separate related legal matter.
Baldoni’s attorneys argued in a legal filing that those penalties, if granted, could be “draconian.”
Questions remain unanswered after Baldoni-Lively settlement
Lively first accused Baldoni of sexual harassment during the production of the 2024 movie “It Ends With Us,” which he co-starred in and directed. Lively has also alleged that Baldoni’s production 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. In the suit, filed in U.S. District Court for the Southern District of New York, 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 in Los Angeles County Superior Court over an article headlined: “‘We Can Bury Anyone’: Inside a Hollywood Smear Machine.”
U.S. District Judge Lewis J. Liman tossed out both suits last year.
In April, Liman also dismissed most of Lively’s claims against Baldoni, including harassment, defamation and conspiracy. He allowed three of her claims to proceed to trial, including breach of contract and retaliation.
The two stars were headed to a May 18 court date before they announced a settlement Monday.
Terms of the settlement were not disclosed. A source familiar with the matter confirmed to NBC News that no money changed hands.
Now, Lively’s team is seeking legal fees and damages from Baldoni’s side related to Baldoni’s since-dismissed countersuit.
In a statement issued on Thursday, Gottlieb and Esra Hudson, Lively’s attorneys, described the settlement as “a resounding victory” for their client.
“From day one Blake Lively’s mission was clear: expose and hold accountable those who weaponize smear campaigns and retaliatory lawsuits to intimidate and silence survivors,” they said. “That mission continues.”
When asked about the statement from Lively’s team, an attorney for Baldoni described the settlement as “a win and total victory for the Wayfarer parties.”
“In our view, they settled because they knew they were going to lose in court,” Bryan Freedman said. “All that remains is a pending request for fees based on a very narrow issue that has been with the court since September 2025.”
