Blake Lively and Justin Baldoni appeared before a New York federal judge on Monday, June 2, 2026, to seek legal fees and damages [1], [2].
The court appearance highlights the lingering financial friction between the two co-stars, suggesting that the resolution of their legal battle remains incomplete despite a previous agreement.
Both parties returned to the Manhattan federal courtroom [2] one month after reaching a settlement in May 2026 [2]. The dispute centers on the payment of damages and legal costs stemming from a defamation lawsuit Baldoni filed in 2024 against Lively and her production company [1], [2].
According to court records, the judge had previously ordered a brief submission deadline of May 31, 2026 [3]. The legal conflict follows the 2024 release of the film "It Ends With Us," in which Lively, 38, and Baldoni starred together [1].
While the parties had formally settled the primary lawsuit last month, the current proceedings focus on the specific allocation of financial liabilities. The court must now determine how the legal fees, and damages will be distributed between the two actors and the involved production entity [1], [2].
“The dispute centers on the payment of damages and legal costs”
This development indicates that while the core legal merits of the defamation suit were settled, the financial fallout remains contested. It is common for high-profile settlements to enter a second phase of litigation regarding 'fee-shifting' or the exact execution of payment terms, which can prolong the public nature of a celebrity dispute even after a deal is signed.





