Blake Lively–Justin Baldoni dispute Likely cost millions before out-of-court settlement

Blake Lively and Justin Baldoni are believed to have spent millions of dollars on their now-settled legal dispute, according to legal experts who say the high-profile case became increasingly costly as it progressed through months of litigation.

The former co-stars, who became embroiled in a legal battle in December 2024, recently reached an out-of-court settlement, bringing an end to a dispute that involved multiple claims and counterclaims tied to the film It Ends With Us.

New York-based attorney Richard Schoenstein told People that the total legal costs were likely substantial on both sides, pointing to the scale of the case and the extensive court filings involved.

“Millions. The combined legal expense is in the multiple millions,” Schoenstein said. “There are around 1,500 docket entries, countless lawyers on both sides, and these are high-priced firms billing well over $1,000 an hour.”

He added that both parties likely recognized that continuing the fight was no longer financially or strategically practical.

“I think they settled because the case wasn’t worth it at this point for either of them,” he said. “The case had been reduced, his counterclaims were dismissed, and her claims were substantially narrowed.”

Schoenstein noted that, given the escalating legal fees, a trial would have further increased costs without a proportionate benefit to either side.

Another attorney, Megan Thomas of Megan Thomas Law, echoed that sentiment, suggesting both parties likely incurred “an obscene amount” in legal expenses due to the involvement of multiple legal teams and prolonged litigation.

She added that the timing of settlements in such cases is not unusual.

“I see cases settle at key points, often right before filing or right before trial,” Thomas said. “Once it becomes public, the value can go down. 

Another common time is right before trial cases often settle on the courthouse steps, which is what happened here.”

The dispute began after Lively accused Baldoni — who directed and co-starred in It Ends With Us — of sexual harassment and orchestrating a smear campaign against her.

 Baldoni and his production company, Wayfarer Studios, later countersued Lively and her husband, Ryan Reynolds, alleging defamation and extortion.