Blake Lively faces new setback as judge rejects extra arguments after Justin Baldoni settlement

Blake Lively has encountered another legal hurdle in the aftermath of her high-profile dispute with Justin Baldoni.

According to a new report, a judge denied Lively’s request to submit additional arguments related to attorney’s fees and damages she is seeking after reaching a settlement with Baldoni and Wayfarer Studios.

Lively and Baldoni settled their long-running legal battle on May 4, just weeks before the case was scheduled to go to trial over allegations connected to their film It Ends With Us. Under the settlement, Baldoni and Wayfarer dropped their $400 million countersuit and waived their right to appeal, while Lively preserved her ability to pursue legal fees and damages under California law.

Despite that partial victory, Lively’s latest request was turned down, marking what some outlets have described as a fresh courtroom setback. Her attorneys have argued that she is entitled to compensation under California Civil Code Section 47.1, which provides protections for individuals who report sexual harassment or discrimination and later face retaliatory lawsuits.

Both sides have publicly claimed success in the settlement. Lively’s legal team called the outcome a “resounding victory,” while Baldoni’s attorney Bryan Freedman described it as a “total victory” for his clients.

Although the core dispute has been resolved, the battle over fees and damages means the legal fallout is not entirely over. For now, the judge’s decision suggests the court is not willing to expand briefing on the issue beyond the arguments already submitted.