Celebrity scandals often burn bright and fade fast, but some leave a mark that goes far beyond the initial headlines. A new chapter is unfolding in the legal saga between actors Blake Lively and Justin Baldoni, a story that began with serious accusations on a movie set. Lively first accused Baldoni, her director and co-star, of sexual harassment and retaliation on the set of It Ends With Us. What started as a dispute over alleged misconduct has escalated into a high-stakes legal battle, with Blake Lively now seeking a significant financial settlement.

The legal battle has taken a new and decisive turn,, which may just lead Blake Lively to millions and Baldoni without them. 

Blake Lively is actively seeking millions of dollars from Justin Baldoni, claiming his $400 million defamation lawsuit against her was frivolous. Lively's motion is seen as a key test of a California law designed to protect sexual harassment victims who speak out. She originally accused Baldoni, who was her director and co-star on the film It Ends With Us, of sexual harassment on set. She also alleged he retaliated against her for complaining by launching an online smear campaign.

Following her accusations, Justin Baldoni responded with a massive lawsuit, which has since been dismissed by Judge Lewis Liman. In a recent motion, Blake Lively’s lawyers argued that she should be awarded multiple millions to cover her legal costs and fees. She is also seeking damages for the economic, emotional, and psychological harm she has suffered, as well as punitive damages for his abuse of the legal system. A separate trial on her original sexual harassment allegations is on track for next year.

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The new twist just adds another layer to the piling turns in the dramatic battle between the two co-stars.

The dispute began on December 20, 2024, when Blake Lively filed a complaint with the California Civil Rights Department, alleging that Baldoni created a hostile work environment through sexual harassment. Just four days later, Lively accused Baldoni and his team of running a smear campaign against her. The year ended with Lively filing a lawsuit against Baldoni on December 31, 2024, which included claims of sexual harassment, retaliation, breach of contract, and intentional infliction of emotional distress.

The conflict expanded into a series of lawsuits and counter-lawsuits in early 2025. On the same day Blake Lively filed her initial lawsuit, Justin Baldoni sued The New York Times for defamation. A few weeks later, he filed a substantial $400 million lawsuit against Lively, her husband Ryan Reynolds, and her publicist, Leslie Sloane, accusing them of defamation and extortion. Following the dismissal of Justin Baldoni's defamation and extortion lawsuit against Lively, a trial for Lively's original case against Baldoni is scheduled for March 2026. In Hollywood, controversies rarely have a full stop, whether it is an event like the Met Gala or scenes behind a movie.

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What are your views on who is right and who is wrong? Let us know in the comments below.