On February 11, 2026, Blake Lively and Justin Baldoni were unable to settle their ongoing legal dispute during a court-ordered mediation in New York City. Lively, known for her role in The Gossip Girl, is suing Baldoni, her co-star and director of their film It Ends With Us, along with his production company, Wayfarer Studios, over allegations of sexual harassment and retaliation.
The mediation took place under the supervision of Magistrate Judge Sarah L. Cave as part of federal procedural requirements. Despite spending six hours in negotiations, the parties left without reaching an agreement, according to statements from Justin Baldoni’s attorney, Bryan Freedman.
Legal Representatives Discuss Next Steps Following Mediation Failure
Bryan Freedman spoke to reporters outside the courthouse, expressing confidence that the case will proceed to trial.
“I do. We’re looking forward to it… The case will move forward,”
he said. While acknowledging the current impasse, Freedman also indicated that settlement discussions might continue at a future date, maintaining hope for a resolution.
Addressing the legal strategy, Freedman stated, “there’s always a chance” for a settlement and added, “We’ll see,” reflecting uncertainty but an openness to ongoing talks.
Background of the Sexual Harassment Allegations and Legal Claims
The dispute began when Blake Lively filed a sexual harassment complaint in December 2024 against Justin Baldoni, alleging inappropriate conduct on the It Ends With Us set. Baldoni denied the accusations and countered with a lawsuit against Lively and her husband Ryan Reynolds, accusing them of extortion and defamation. However, his counterclaims were dismissed by the court in June 2025.
In recent proceedings, Baldoni’s lawyers argued that the core issue was a creative disagreement related to the film’s romantic and sexual themes, rather than misconduct. His attorney Jonathan Bach claimed the sexual content was dictated by the movie’s source material, saying,
“It’s not enough to show that sex or sexuality found its way into the workplace. Their burden is to show that it not only entered the workplace, but was used to discriminate against women.”
Blake Lively’s Legal Team Stands Firm with Strong Evidence
Despite the defense’s arguments, Blake Lively’s legal team continues to assert that the 42-year-old actor’s conduct was repeatedly inappropriate and violated workplace boundaries. Lively’s attorney, Sigrid McCawley, expressed confidence in their position after a recent hearing.
“She really is in a position where she’s got mountains of strong evidence,”
McCawley said.
“She feels very good about her claims, and she wants to send a message to all women that if you are wronged and harmed in the workplace, you can stand up for yourself.” – Sigrid McCawley, Attorney
The actress is pursuing more than $160 million in damages, underscoring the seriousness of the allegations and her desire to hold the defendants accountable on a significant scale.
Upcoming Trial Marks Critical Moment in the Case
The trial is set to begin in New York City on May 18, 2026, marking a pivotal phase for the Blake Lively sexual harassment case. The outcome will not only impact the parties involved but could also influence how similar allegations are addressed within the film industry. As tensions remain high, both sides prepare to present their arguments before the court, with potential settlement talks still possible but no longer imminent.
