The legal battle between “It Ends With Us” co-stars Blake Lively and Justin Baldoni will no longer go to trial in May after they reached a settlement deal that they announced on Monday.

The two effectively ended their yearslong legal dispute after a court-ordered settlement conference last week. The terms of the settlement were not made public.

Lively accused Baldoni of sexual harassment during the production of the 2024 movie “It Ends With Us,” which he directed. Lively has also alleged that Baldoni’s production company, Wayfarer Studios, retaliated against her after she complained about alleged misconduct on the set of the film.

Baldoni vehemently denied Lively’s claims.

Attorneys for Baldoni and Lively issued a joint statement on Monday.

"The end product — the movie “It Ends With Us” — is a source of pride to all of us who worked to bring it to life," Bryan Freedman, Ellyn Garofalo, Michael Gottlieb, and Esra Hudson said in a statement. "Raising awareness, and making a meaningful impact in the lives of domestic violence survivors — and all survivors — is a goal that we stand behind."

The lawyers said they "acknowledge the process presented challenges and recognize concerns raised by Ms. Lively deserved to be heard."

"We remain firmly committed to workplaces free of improprieties and unproductive environments. It is our sincere hope that this brings closure and allows all involved to move forward constructively and in peace, including a respectful environment," the statement continued.

The settlement came a month after a federal judge tossed out most of Lively’s claims against Baldoni, including harassment, defamation and conspiracy. U.S. District Judge Lewis J. Liman allowed three of her claims to proceed to trial, including breach of contract and retaliation.

Lively went public with her allegations in December 2024, roughly four months after “It Ends With Us” premiered in theaters. She first lodged a complaint with the California Civil Rights Department, then filed a federal lawsuit.

The suit accused Baldoni of sexual harassment and creating a hostile work environment. In an amended complaint filed in February, Lively’s lawyers alleged Baldoni made inappropriate comments about her appearance, “inserted improvised gratuitous sexual content,” kissed her without her consent, and discussed his pornography addiction.

Lively’s lawyers also alleged that Baldoni and Wayfarer Studios orchestrated a “carefully crafted, coordinated, and resourced retaliatory scheme to silence her, and others, from speaking out.”

In January 2025, Baldoni countersued Lively and her husband, “Deadpool” actor Ryan Reynolds, for defamation and extortion. He argued that Lively and Reynolds attempted to wreck his reputation and accused her of using her grievances as a way to “seize control” of the movie.

Baldoni also brought a defamation suit against The New York Times over an article headlined: “‘We Can Bury Anyone: Inside a Hollywood Smear Machine.” Liman tossed out both suits last year.

The highly publicized case has reverberated through Hollywood, exposing text messages between A-listers and uncomfortably candid studio business conversations that normally remain behind closed doors. It also subjected Lively and Baldoni to the broader culture war around sexual harassment.

Lively's private communications were unsealed as part of her suit against Baldoni — including messages with Reynolds and pop star Taylor Swift.