Story perspectives

Settlement Reached, No Award; $60M Costs, Lively Seeks Fees

5/13/2026

Summary

Lively Settlement

Settlement reached May 4, 2026, days before a May 18, 2026 New York trial, with no money awarded to either party.
Judge Lewis J. Liman denied Blake Lively’s May 12, 2026 request to file additional briefs or information.
The litigation cost both sides $60 million over 18 months.
Lively continues to seek attorney-fees and damages under the 2023 California law.

Summary

Judge Denies

The judge denied Lively’s request, leaving California Civil Code Section 47.1’s applicability to out-of-state conduct unanswered.
Baldoni’s lawyers argued Section 47.1 should not apply because the alleged harassment occurred mainly in New Jersey and because its application would violate defendants’ constitutional right to sue in federal court.
The dispute began with Lively’s December 2024 lawsuit, lasted 18 months, and after a $400 million countersuit was dismissed in June 2025, the court has not ruled on Section 47.1’s reach.

Summary

Lively Claims Victory

The parties signed a sanitized joint statement presented as a narrative victory, not monetary gain.
Michael Gottlieb, Lively’s attorney, called the settlement a “resounding victory” on The Town podcast.
Mark Geragos and Matt Murphy said on Megyn Kelly’s show the settlement is a strategic spin, that mediation blocked a malpractice suit, and that agreement lets Lively seek attorney-fee recovery under a 2023 California statute after $400 million defamation suit was dismissed.

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Lively Settlement

Settlement reached May 4, 2026, days before a May 18, 2026 New York trial, with no money awarded to either party.
Judge Lewis J. Liman denied Blake Lively’s May 12, 2026 request to file additional briefs or information.
The litigation cost both sides $60 million over 18 months.
Lively continues to seek attorney-fees and damages under the 2023 California law.

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