Legal Fee Limits
Judge limits Blake Lively to $407,452 in legal fee recovery following defamation countersuit dismissal.
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Key Points
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The ruling cited a California law meant to protect survivors of sexual harassment and discrimination from retaliatory lawsuits, limiting Blake Lively’s fee recovery to the costs incurred defending only the defamation counterclaim rather than the entire multi-claim case.
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Lively was awarded $363,245.40 in attorneys’ fees and $44,206.35 in costs, totaling $407,451.75, far less than the roughly $8 million she sought.
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The defamation countersuit was dismissed in June 2025, and Lively’s sexual harassment claims were rejected by the court on independent-contractor grounds, with the broader dispute subsequently settled.
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The broader dispute had already been settled in 2024 with no money changing hands, with both sides later affirming a commitment to workplaces free of improprieties and unproductive environments.
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Although the case was highly litigious and involved high stakes, the judge limited recoverable fees to those tied to the defamation defense, noting that hours billed for media relations were not integral to defending the defamation claim and that the requested hours were unreasonable.
A New York federal judge awarded Blake Lively about $407,451 in legal fees and costs from Justin Baldoni—far less than the roughly $8 million she sought. LA Times reported that the court limited her recovery to fees tied only to defending against Baldoni's dismissed defamation countersuit, not the entire multi-claim case.
The ruling applied a California law designed to protect sexual-harassment survivors from retaliatory lawsuits. The Independent noted that Lively was awarded $363,245 in attorneys' fees and $44,206 in costs, underscoring how courts narrow fee recovery even in high-profile disputes with substantial legal bills.
Why the Judge Cut Her Fee Award in Half
The court limited recoverable fees to costs directly tied to defending the defamation counterclaim under California law protecting harassment survivors from retaliation. US Magazine explained that hours billed for media relations and other claims were excluded. The judge found that media-relations time was not essential to the defamation defense.
Lively's sexual-harassment claims had already been rejected on independent-contractor grounds. Just Jared reported that once those claims were dismissed, the court narrowed what Lively could recover—essentially shrinking her eligible legal costs from a sprawling, multi-claim case to one specific counterclaim.
From $8 Million Demand to $407,000 Award
Lively had requested roughly $8 million to cover defense costs across the entire lawsuit. The Hollywood Gossip reported that she received just $407,451—barely 5% of what she sought. The gap reveals how judges scrutinize billing hours and apply narrow rules about which costs count as recoverable.
The defamation countersuit was dismissed in June 2025. LA Times noted that the broader dispute had already settled in 2024 with no money changing hands, making the fee award the main remaining point of contention between the former collaborators.
The Limits of Fee Recovery in Celebrity Disputes
Even high-stakes, multi-claim litigation offers limited fee recovery under certain protections. The decision shows that judges carefully track which hours relate to which claims. Time spent on dropped or settled claims typically cannot be recovered, limiting plaintiffs' ability to recoup costs.
Both parties later affirmed commitment to workplaces free of improprieties. US Magazine reported that despite the contentious dispute, the settlement and fee ruling closed the chapter without further payments beyond the $407,451 award—a modest outcome given the scope of litigation.
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