Blake Lively and Justin Baldoni’s long-running legal battle has officially come to an end, but not in the way most expected. After months of filings, countersuits, and mounting headlines, the two reached a last-minute settlement just weeks before their case was set to go to trial. After all the drama, neither side walked away with any financial payout. The only ones that came out on top were their lawyers.
© GettyAccording to TMZ, no money was exchanged in the agreement. The resolution came together after weeks of negotiations, ultimately landing at the eleventh hour.
“They finally came to an agreement today. It was a last-minute deal,” an insider told Page Six, calling it a “long” and “drawn-out." Even without damages awarded to either Lively or Baldoni, the case carried a significant financial weight. Legal teams on both sides reportedly earned a combined $60 million throughout the process of suing and countersuing, underscoring just how extensive the dispute had become, per Page Six.
© GettyIn the final stretch before the agreement, Lively tried one last-ditch effort, bringing in a new law firm, Susman Godfrey, to represent her.
In a joint statement following the settlement, both sides struck a more unified tone, shifting the focus back to their shared work. “The end product — the movie ‘It Ends With Us’ — is a source of pride to all of us who worked to bring it to life,” they said. “Raising awareness, and making a meaningful impact in the lives of domestic violence survivors — and all survivors — is a goal that we stand behind."
They continued by emphasizing future intentions, stating they “remain firmly committed to workplaces free of improprieties and unproductive environments” and expressing that it is their “sincere hope that this brings closure and allows all involved to move forward constructively and in peace, including a respectful environment online”.
© Jose Perez/Bauer-GriffinThe legal dispute dates back to December 2024, when Lively filed a lawsuit accusing Baldoni, her co-star and director on It Ends With Us, of sexual harassment. Baldoni denied the allegations and responded with a $400 million countersuit against Lively, her husband Ryan Reynolds, and her publicist, alleging defamation, extortion, and more. That countersuit was later dismissed in June 2025.
In the months leading up to the settlement, the case shifted significantly in court. A judge dismissed 10 of Lively’s 13 claims, including sexual harassment, defamation, and conspiracy, allowing only a limited number of claims, such as breach of contract, retaliation, and aiding and abetting in retaliation, to move forward.
© GettyThe timing of the settlement also added another layer to the moment. Just hours after the agreement was finalized, Lively appeared at the 2026 Met Gala, marking a quick shift from a months-long legal battle back into the public spotlight.
In the end, while neither side secured financial damages, the settlement closes a chapter that has been drawn out and dramatic.
