A New York federal judge ruled Friday that Justin Baldoni and his production company Wayfarer Studios must pay Blake Lively's attorneys' fees, following a settlement last month that ended nearly a year and a half of litigation between the former co-stars, according to ABC News.
U.S. District Judge Lewis Liman denied Lively's claim for punitive damages but found she was entitled to attorneys' fees under California Civil Code Section 47.1. That statute states in part that a prevailing defendant in a defamation case is entitled to their reasonable attorney's fees and costs for successfully defending themselves in the litigation, as well as any additional damages permitted by a judge.
Lively's attorneys Esra Hudson and Michael Gottlieb said in a statement to ABC News that the ruling makes it clear that Lively brought her claims in good faith and that there was no evidence she acted with malice. "Ms. Lively is gratified that her lawsuit shows how Section 47.1 and laws like it create a path for survivors to hold accountable those who weaponize online attacks and retaliatory lawsuits to intimidate and silence survivors," they added.
Baldoni's attorney, Bryan Freedman, pushed back on the scope of the ruling in his own statement. "Ms. Lively was only awarded limited attorney fees for a single claim as part of a case that lasted only a matter of months, nothing more," Freedman wrote. He added, "Throughout this process, innocent people had their reputations unfairly tarnished. There was no sexual harassment. There was no retaliation. There was no smear campaign. The court recognized it; the record reflects it, and we have maintained it from the very beginning. We would not hesitate to stand up for the truth again."
The legal dispute began in December 2024 when Lively filed a complaint with the California Civil Rights Department alleging severe emotional distress. She claimed Baldoni, who directed the film It Ends With Us, and key stakeholders in the production sexually harassed her and worked with his company to orchestrate a smear campaign against her.
Baldoni responded by filing a libel lawsuit against the New York Times on December 31, after the paper published an article about Lively's California complaint. The parties reached a settlement in early May, with documents filed May 7 in the Southern District of New York showing both sides agreed Lively could still seek to recover attorneys' fees and additional damages. The terms of the settlement were not disclosed.
