Justin Baldoni Decides Not to Refile USD 400 Million Lawsuit as Blake Lively Declares Victory, Here's What It Means

Pink Villa

13 hours ago

Trigger Warning: This article includes references to s*xual harassment.
Blake Lively's legal team is calling it a win after Justin Baldoni chose not to refile his USD 400 million countersuit involving the filming of It Ends With Us. The dispute began when Lively filed a lawsuit in late 2023, accusing Baldoni of s*xual harassment, fostering a hostile work environment, and running a smear campaign against her.
The legal battle escalated quickly when Baldoni responded with a massive countersuit, targeting Lively, her husband Ryan Reynolds, their publicist, and even The New York Times, alleging defamation and extortion.
But now, the USD 400 million countersuit is officially off the table. Earlier this month, U.S. District Judge Lewis J. Liman dismissed Baldoni's claims, stating that Lively's statements to the California Civil Rights Department were protected under legal privilege and could not be used as grounds for defamation. The judge also threw out Baldoni's USD 250 million claim against The New York Times, saying the publication's coverage was protected under fair-report privilege.
What happens now after Baldoni drops his countersuit?
Baldoni was given a chance to refile a narrower breach-of-contract claim, but his attorney, Bryan Freedman, confirmed they won't be pursuing that. 'We will be pursuing additional legal options that are available to us,' Freedman told PEOPLE, suggesting that more legal steps could follow, even though the countersuit has been dropped.
Lively's side responded strongly to the court's decision. Her representative told Just Jared, 'The Court dismissed the frivolous USD 400 million Baldoni-Wayfarer lawsuit in its entirety. In the days that followed, Baldoni's lawyer said the judge's decision to dismiss their case was not a big deal as they promised to amend and refile it. As per usual, that was not true. The Court's dismissal of Baldoni's sham lawsuit was a total victory after all.'
In a statement to US Weekly, her lawyers called the dismissal a complete vindication for Blake Lively, Ryan Reynolds, and others named in the suit. They added that Justin Baldoni's countersuit was 'a sham.'
Despite the countersuit being dismissed, Baldoni's team maintained their position. His lawyer, Bryan Freedman, said the court's decision had no impact on their stance, insisting there was no harassment or smear campaign and that it would not affect their strong defense against Blake Lively's claims.
Blake Lively's original lawsuit is still active, with a trial scheduled for March 2026. Baldoni's legal team is also trying to access Lively's private communications with Taylor Swift, which have become part of the discovery process.