The nearly two-year legal war between Blake Lively and Justin Baldoni came to an abrupt end in May 2026 - and according to legal experts, the timing and terms of the settlement mean the case is closed for good. On May 4, 2026, news broke that Lively and Baldoni reached a settlement just days before a trial was set to begin. Lively alleged that her It Ends With Us costar and director sexually harassed her, fostered a hostile work environment and orchestrated a smear campaign against her. Baldoni denied the claims and filed a countersuit, which was dismissed in June 2025.