A few weeks before their trial in May, Blake Lively and Justin Baldoni announced that they had settled their legal battle, but questions continue to be raised over who walked out of the situation with the most losses.

With earlier reports suggesting the “Gossip Girl” star has been sidelined from several Hollywood circles, sources have now shared that she’s looking to rebuild her career.

Blake Lively also recently scored a legal win over Justin Baldoni as a judge ordered him to pay her legal fees relating to his 2025 defamation lawsuit.

Blake Lively And Justin Baldoni’s Lengthy Court Battle Was Settled In May

Lively and Baldoni’s partnership on “It Ends with Us” was supposed to be a celebration of a box-office hit, but was marred by their nasty court battle.

The actress filed a sexual harassment lawsuit against him, accusing him of improvising kissing scenes, making comments about her body, and speaking openly about his porn addiction.

However, he denied it and filed a counter lawsuit against her, accusing her of extortion and defamation, but the case was later dismissed by a judge.

Both parties went on and on for nearly two years, making different allegations in more than 1400 court filings. They were scheduled to begin trial in May 2026, but 2 weeks before then, they announced that they’d reached a settlement in the case.

The Actress Is ‘Rebuilding Her Career,’ While Justin Baldoni Is Focused On His ‘Family And Living In The Moment’

The legal battle between Lively and Baldoni appears to be a stalemate with no clear victor, but experts argue that both parties have sustained severe damage to their public images and careers.

According to Us Weekly, the former co-stars now face the daunting task of picking up the pieces of their respective careers and moving on with their lives.

A source told the news outlet that Lively is looking to rebuild her career and is confident she can achieve that.

“Blake is focused on rebuilding her career,” the insider said. “She’s confident she can come back from this.”

The revelation comes after rumors emerged suggesting no one wants to work with her again following her explosive lawsuit with her former co-star.

Meanwhile, Baldoni seems to be more focused on his family and might be taking time away from Hollywood to spend time with them.

“Justin’s focus is on his family and living in the moment,” a second source said. “He wants to get back to some sense of normalcy for them.”

Baldoni and his wife Emily share daughter Maiya and son Maxwell together, while Lively is the mother to daughters James, Inez, and Betty, and son Olin, whom she shares with husband Ryan Reynolds.

Blake Lively Faces An Uphill Task When It Comes To Fixing Her ‘Tarnished’ Image, PR Expert Reveals

One thing is for sure, though, both stars took a hit to their reputation. At the height of their legal battle, internet users trolled Lively and accused her for being a “mean girl,” especially after Norwegian journalist Kjersti Flaa shared an old clip of their awkward interaction in an interview.

On the other hand, Baldoni’s sensitive “Man Enough” podcast host persona, where he often spoke up for women, took a huge hit and was not only dropped by his talent agency but also had an award rescinded.

Weighing in on their chances of coming back from the fallout, PR experts explained that it’s going to be an extremely difficult task for both parties.

“Neither side emerged as an overall winner,” David Johnson, CEO of Strategic Vision PR Group, said. “But Blake suffered the most because people viewed her as humorous, family-oriented, and approachable, and the lawsuit tarnished that image.”

PR Experts Say Blake Lively And Justin Baldoni Need To Let Their Work Do The Talking From Now On

Speaking more about the former co-stars’ “tarnished” brands, Johnson explained that recovery for Baldoni depends on three factors, which include “the absence of new controversies, continued professional achievement, and time.”

Another PR expert told Us Weekly that Mark Borkowski also noted it’s best if Lively lets her work do the talking, rather than being everywhere.

“[She should be] undeniable in the work and boring everywhere else. Boring is the most underrated crisis strategy in the business,” Borkowski said.

For Baldoni, he explained, “Justin’s only route back [is to] make something good and [be quiet] for two years.”

Justin Baldoni Was Ordered To Cover Blake Lively’s Legal Costs

Meanwhile, the “Another Simple Favor” actress scored a legal win over Baldoni as Judge Lewis Liman ordered him to cover her attorney’s costs relating to his 2025 defamation lawsuit.

The ruling was made in connection with a California law that was created to protect sexual harassment victims from retaliatory defamation claims.

However, the judge denied her request for triple damages and punitive damages, stating that those remedies are not available under federal law.

“The Court concludes that, on this record, the Wayfarer Parties have failed to carry their burden of demonstrating that the Section 47.1 privilege does not apply, and Lively is therefore entitled to fees and costs,” the judge wrote in court documents before adding that “Lively’s request for damages must be denied” on procedural grounds.