Judge Dismisses Baldoni’s $400M Lawsuit Against Lively
A federal judge has dismissed actor Justin Baldoni’s massive $400 million defamation lawsuit against actress Blake Lively and her husband Ryan Reynolds, ruling that Lively’s sexual harassment allegations against her “It Ends With Us” co-star were legally protected. Judge Lewis J. Liman also dismissed a related $250 million lawsuit against The New York Times, delivering a comprehensive victory for Lively and the other defendants.
The ruling represents a decisive legal victory in the high-profile Hollywood dispute that erupted after Lively accused Baldoni of sexual harassment during filming of their 2024 romantic drama. The dismissal was based on legal protections for sexual harassment complaints rather than the merits of either side’s claims, setting important precedents for future celebrity defamation cases.
Photo Source: MoneyReign
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Legal Protections Shield Harassment Claims
Judge Liman ruled that Lively’s claims to the California Civil Rights Department about Baldoni’s alleged harassment were privileged under law and therefore protected from defamation lawsuits. The decision cited California legislation enacted in response to the #MeToo movement, which specifically protects individuals who report sexual harassment from retaliatory legal action, according to Variety.
The judge’s 132-page decision found that Baldoni failed to demonstrate “actual malice” in Lively’s allegations, a critical legal standard required for defamation cases involving public figures. Liman wrote that Lively’s complaints were made with “genuine, good faith belief that she was mistreated,” and that her legal right to report harassment superseded Baldoni’s defamation claims.
New York Times Reporting Also Protected
The dismissal extended to Baldoni’s $250 million lawsuit against The New York Times for its December 2024 article titled “‘We Can Bury Anyone’: Inside a Hollywood Smear Machine.” Judge Liman ruled that the newspaper’s reporting was protected under the “fair report” privilege, which allows media outlets to cover legal proceedings without incurring defamation liability.
The judge noted that “the alleged facts indicate that the Times reviewed the available evidence and reported, perhaps in a dramatized manner, what it believed to have happened.” NPR reported that the court found no evidence the Times had any obvious motive to favor Lively’s version of events or acted with malicious intent in its coverage.
Reynolds and Publicist Also Vindicated
The court’s ruling also dismissed claims against Ryan Reynolds and the couple’s publicist Leslie Sloane, finding that their statements were either protected opinion or made without the required “actual malice” standard. Reynolds had allegedly called Baldoni a “predator” in private conversations, but the judge ruled this constituted protected opinion based on available information about the harassment allegations.
Sloane, who was accused of spreading damaging information about Baldoni to media outlets, was similarly cleared of defamation charges. The judge found that statements made by Sloane and Reynolds were based on information they genuinely believed to be true, failing to meet the legal threshold for defamation against public figures.
Photo Source: MoneyReign
Background of the Hollywood Feud
The legal battle began in December 2024 when Lively filed a complaint with the California Civil Rights Department accusing Baldoni of sexual harassment during the filming of “It Ends With Us.” She alleged that after reporting the harassment, Baldoni’s team orchestrated a smear campaign against her, including text messages between Baldoni and his crisis PR team stating they could “bury” her reputation.
Baldoni, who both directed and starred in the film, denied all allegations and filed his countersuit in January 2025, claiming that Lively and Reynolds had conspired to damage his career and reputation. CNN reported that Baldoni’s lawsuit alleged Lively tried to “hijack” the film and then blamed him when her promotional approach prompted negative public reaction.
Future Legal Proceedings
While Baldoni’s defamation lawsuit was dismissed, Judge Liman allowed him until June 23 to refile limited claims regarding tortious interference with contracts and breach of implied covenant. However, legal experts consider these remaining claims significantly weaker than the dismissed defamation allegations.
Lively’s original lawsuit against Baldoni for sexual harassment and retaliation remains active, with a trial scheduled for March 2026. Her legal team announced they would seek attorney’s fees, treble damages, and punitive damages against Baldoni and his production company Wayfarer Studios. The case could set important precedents for how sexual harassment claims are protected from retaliatory lawsuits in the entertainment industry.
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