Blake Lively and Justin Baldoni Settle Harassment Lawsuit

Lively and Justin Baldoni, co-stars in the film "It Ends With Us," have settled a harassment lawsuit, ending their legal battle just two weeks before a federal trial was set to begin. The settlement was announced on Monday, the same day as the 2026 Met Gala.

Multiple sources confirmed the resolution, with a joint statement from their legal teams noting that concerns raised by Lively deserved to be heard. The dispute stemmed from Lively's accusations against Baldoni of repeated sexual harassment on set and orchestrating a digital smear campaign in retaliation.

Baldoni denied the allegations and filed a $400 million countersuit, which a federal judge dismissed in 2025. The judge also reprimanded Baldoni's legal team for making claims deemed legally frivolous and factually baseless.

The legal actions began after the 2024 release of "It Ends With Us," where Lively alleged Baldoni's behavior created an unsafe environment. Court filings included text messages from colleagues, such as actor Jenny Slate calling Baldoni a "false ally" and refusing to do press with him, and producer Alex Saks pushing to replace Baldoni as director during filming.

“It’s like a horror film no one knows is taking place." — Taylor Swift, in a 2024 text to Blake Lively (Business Insider). Baldoni's production company was involved in the suit, and the settlement halts any further proceedings. Sources reported no details on financial terms or other conditions of the agreement.”

Hours after the settlement news, Lively attended the 2026 Met Gala as a guest of Versace, marking her return to the event after a four-year absence. She wore an archival Atelier Versace gown from spring 2006, featuring a 13-foot train, and told reporters it represented standing in her current self with strength and confidence.