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Lively and Baldoni Settle Federal Suit as State Fight Over Fees and Damages Continues

The surprise May settlement ended federal claims but leaves California court battles over attorneys’ fees, enhanced damages and lingering reputational disputes to be decided.

Overview

  • The parties announced a confidential settlement of the federal lawsuit earlier this month that resolved Lively’s federal claims against Justin Baldoni.
  • Blake Lively is still pressing related state‑court claims in California that seek attorneys’ fees and enhanced damages under a 2023 law that can award treble or punitive relief in some harassment‑related defamation cases.
  • A judge had earlier dismissed many of Lively’s original claims — reported as 10 of 13 counts including sexual harassment, defamation and conspiracy — before the federal settlement was reached.
  • Lively and her husband Ryan Reynolds have remained publicly active on social media and at events, and coverage notes the dispute cost the parties roughly $60 million in legal fees and defenses.
  • Procedural fights continue in California as judges consider fee and damages motions, a request to file additional briefing was denied, and Baldoni’s lawyer has publicly criticized Lively’s decision to settle.