Why is Blake Lively asking for punitive damages from Justin Baldoni? Federal lawsuit explored amid Not Like Us controversy

Blake Lively, 37, has filed a federal lawsuit seeking punitive damages from her It Ends With Us co-star and director Justin Baldoni, 40. The lawsuit, submitted on December 31 in a New York federal court, accuses Baldoni of s*xual harassment, retaliation, breach of contract, emotional distress, and invasion of privacy. The case builds on a prior complaint filed with the California Civil Rights Department, echoing similar accusations.

Lively claims that Baldoni's behavior on set—including introducing explicit content, making inappropriate remarks, and creating unauthorized scenes—created a hostile work environment. Furthermore, she alleges that Baldoni orchestrated a retaliatory smear campaign that significantly damaged her professional and personal life.

As per the filing, Lively endured "severe emotional distress and pain, humiliation, embarrassment, belittlement, frustration, and mental anguish," caused by Baldoni's alleged actions, stating this as the reason for seeking punitive damages, the amount for which will be determined during the trial.

In addition to Baldoni, Lively's lawsuit names his crisis manager Melissa Nathan, his publicist Jennifer Abel, and Wayfarer Studios, the production company behind the film, as defendants.

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Blake Lively alleges retaliation and misconduct on set in lawsuit against Justin Baldoni

In her lawsuit, Lively detailed incidents on set that prompted an "all-hands" meeting to address Baldoni's alleged misconduct. According to the complaint, he was told to stop showing explicit content, discussing personal matters like Lively's weight and deceased father, and including s*xually charged scenes outside the approved script.

Lively's husband, Ryan Reynolds, reportedly attended this meeting. After the meeting, Baldoni allegedly hired a crisis management team to retaliate against Lively.

The lawsuit accuses the team of creating a "smear campaign" involving digital manipulation and disinformation. A text message included in the suit allegedly shows Abel and Nathan discussing efforts to "bury" Lively's reputation.

Lively's legal team argues these actions amount to violations of both federal and California state law, noting that the alleged misconduct occurred primarily in New York.

"Ms. Lively's decision to speak out has resulted in further retaliation and attacks," her attorneys said in a statement to Deadline on December 31, 2024.

Baldoni's attorney Bryan Freedman dismissed the allegations, calling them "categorically false" and accusing Lively of using unverified claims to manipulate public perception. Freedman stated that Baldoni's team only conducted "scenario planning" and denied engaging in retaliatory measures.

Additionally, Baldoni, Wayfarer Studios filed a $250 million lawsuit against The New York Times, for defamation on December 31, alleging the newspaper misrepresented texts and emails to support Blake Lively's narrative. The lawsuit claims the Times' reporting was based on selectively edited communications that omitted context.

In the lawsuit, Freedman characterized the Times' article as a "vicious smear campaign fully orchestrated by Blake Lively and her team" and accused the publication of abandoning journalistic ethics. The Times, in its defense, asserted that its reporting was thorough and relied on verified documents.

The controversy has had significant repercussions for all parties involved. WME, Baldoni's talent agency, dropped him as a client following the publication of the allegations. Meanwhile, Blake Lively's claims have fueled online debates, with fans and critics taking sides based on their interpretations of the allegations.

The lawsuit also alleges that Reynolds pressured WME to sever ties with Baldoni during the promotion of Deadpool and Wolverine. A WME representative denied these claims, stating no external influence affected their decision. Lively's lawsuit accuses Baldoni's crisis management team of employing digital manipulation tactics to circulate defamatory content about her.

Conversely, Baldoni's counterclaims allege that Blake Lively's publicist planted negative stories about Baldoni, including allegations about his Bahá’í faith and misconduct on set. Both sides dispute these claims, asserting their respective strategies were defensive rather than offensive.

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Both lawsuits are ongoing, with the federal court likely to examine the extensive communications cited by both parties.

Blake Lively has emphasized her intent to shed light on what she describes as "sinister retaliatory tactics" and ensure workplace safety for others. Justin Baldoni and Wayfarer Studios maintain that the allegations are baseless and part of a broader attempt to manipulate the narrative.