Baldoni's defamation case against Lively rejected

Court says claims lack legal basis

A New York judge on Monday dismissed Justin Baldoni's $400 million countersuit against his It Ends With Us co-star Blake Lively, marking a major legal victory for the actor and her allies in a highly publicised dispute that has rocked Hollywood since late last year.

As per Variety, the ruling from Judge Lewis Liman threw out Baldoni's claims of extortion and defamation, brought in response to Lively's December 2024 lawsuit against the actor and his production company, Wayfarer Studios, in which she alleged sexual harassment on set and subsequent retaliation.

The lawsuit stems from tensions on the set of the film adaptation of Colleen Hoover's bestseller, where Lively starred as Lily Bloom and Baldoni served as both co-star and producer. The film's release was overshadowed by allegations Lively first made public in a New York Times article, before formally filing her complaint in court.

Baldoni had responded with a sweeping defamation countersuit not only targetting Lively, but also her husband Ryan Reynolds, publicist Leslie Sloane, and the New York Times. He alleged that Lively orchestrated a campaign to damage his reputation and sabotage the film's release, including threats to withdraw promotional support unless demands were met.

But in a sharply worded opinion, Judge Liman rejected the basis of Baldoni's legal arguments.

"The Wayfarer Parties have not alleged that Lively is responsible for any statements other than the statements in her lawsuit, which are privileged," Liman wrote. He further ruled that Lively's actions amounted to "legally permissible hard bargaining," not extortion.

As for the $250 million suit against the New York Times, the judge said Baldoni failed to show that the publication acted with actual malice. "The Times reviewed the available evidence and reported, perhaps in a dramatised manner, what it believed to have happened," the opinion read.

Following the ruling, Lively's legal team released a statement hailing the decision as "a total victory and a complete vindication." The statement also noted the dismissal extended to all parties named in Baldoni's lawsuit, including Reynolds, Sloane, and the Times.

On Instagram, Lively responded to the ruling with a message of solidarity: "Like so many others, I've felt the pain of a retaliatory lawsuit," she wrote. "While the suit against me was defeated, so many don't have the resources to fight back."

Baldoni has been granted the option to amend and refile parts of his complaint related to alleged interference with contractual agreements by June 23.

The decision comes just a week after Lively voluntarily withdrew two of her claims against Baldoni — those relating to emotional distress — in what her lawyers said was a procedural narrowing of the case.

With a trial still expected next year, the legal and reputational fallout from It Ends With Us continues to unfold, casting a long shadow over a film once positioned as a prestige project.