Blake Lively, Justin Baldoni reject settlement as trial approaches

It has been reported that both Justin Baldoni and Blake Lively turned down a last-minute settlement proposal linked to her claims of sexual harassment and retaliation.

The co-stars of "It Ends With Us" are set to confront each other in court next month, following an unsuccessful attempt to reach a settlement during a meeting with a judge in New York City on Monday, the Daily Mail noted.

Attorneys representing Baldoni, 42, and Lively, 38, were approached for last-minute individual discussions to provide the judge with an update on “their client’s revised settlement stance” ahead of the upcoming trial.

These meetings were initiated after a judge dismissed 13 of the accusations made by the “Gossip Girl” alum against the co-founder of Wayfarer Studios on Thursday.

Currently, only three complaints against Baldoni persist, involving breach of contract, retaliation, and facilitating retaliation.

The filmmaker’s legal team welcomed the ruling, expressing to Page Six, “We are delighted the Court has dismissed all claims of sexual harassment as well as every charge against the individual defendants.”

“These were serious allegations, and we appreciate the Court’s thorough examination of the facts, laws, and extensive evidence submitted.”

Lively later addressed the court decision through Instagram, stating in a detailed message, “A lawsuit was the last thing I desired in my life, but I initiated this case due to ongoing RETALIATION I experienced and continue to face for discreetly and professionally requesting a safe working environment for myself and others.”

Moreover, she expressed her gratitude to finally be able “to fully share [her] story at trial” on May 18.

In a separate post, the actress cited excerpts from the court's ruling, highlighting that she had presented “positive evidence” regarding her claims of retaliation and Wayfarer Studio’s “intent to circulate negative information about her.”

Her post also outlined that the court acknowledged there was “adequate proof” that “Wayfarer parties engaged in sexual harassment by fostering a hostile work atmosphere.”

Lively’s legal representatives informed Page Six through a statement that her sexual harassment charges were not moving forward “not because the accused were innocent” but because the court determined Lively was an independent contractor, not an employee.

The "Shallows" actress charged Baldoni with sexual harassment and retaliation on the "It Ends With Us" set in December 2024. During the same month, she filed a lawsuit against him.

Baldoni fervently refuted Lively’s accusations and countersued for $400 million against her and her husband, Ryan Reynolds. Eventually, a judge dismissed the lawsuit on June 25.

As the saga unfolds, renowned personalities, such as Taylor Swift and Reynolds' former spouse, Scarlett Johansson, have been mentioned in documents that were unsealed.