Justin Baldoni’s lawsuit against Blake Lively, Ryan Reynolds and The New York Times was dismissed by a judge on Monday, according to court documents obtained by HuffPost.The news marks the latest in the tumultuous back-and-forth legal battle that stems from the film “It Ends With Us,” which Baldoni directed and starred in. Lively, who is married to Reynolds, starred in the film as well.Baldoni filed a $400 million countersuit against Lively, Reynolds and Lively’s publicist, Leslie Sloane, in January, claiming that they attempted to extort and defame him with sexual harassment claims and that the two actors tried to take control of his film. He also claimed in a defamation suit that the Times had falsely reported that he had created a smear campaign against Lively.Baldoni’s countersuit also lists the film producer Jamey Heath, Wayfarer partner Steve Sarowitz and publicists Melissa Nathan and Jennifer Abel as plaintiffs.However, Judge Lewis J. Liman of the U.S. District Court in Manhattan argued that Lively had relied on “legally permissible hard bargaining or renegotiation of working conditions” rather than extortion. Liman also said that Lively’s statements accusing Baldoni of sexual harassment are privileged because they were made in a California Civil Rights Department complaint and therefore not considered defamation.Additionally, Liman wrote that Baldoni’s claim that Reynolds, Sloane and the Times defamed him does not hold up because the suit does not prove that any of the parties “seriously doubted these statements were true based on the information available to them.”In a 132-page opinion, the judge explicitly wrote that the Wayfarer Parties, which refer to Baldoni, Wayfarer Studios and others in the company, “have not adequately alleged that Lively’s threats were wrongful extortion rather than legally permissible hard bargaining or renegotiation of working conditions. Additionally, the Wayfarer Parties have not shown that some of Lively’s allegedly extortionate acts damaged them.” (Baldoni is a co-founder of Wayfarer Studios, an independent production studio involved in the film.)“The Wayfarer Parties have not alleged that Lively is responsible for any statements other than the statements in her CRD complaint, which are privileged,” the opinion also stated. “The Wayfarer Parties have alleged that Reynolds and Sloane made additional statements accusing Baldoni of sexual misconduct and that the Times made additional statements accusing the Wayfarer Parties of engaging in a smear campaign. But the Wayfarer Parties have not alleged that Reynolds, Sloane or the Times would have seriously doubted these statements were true based on the information available to them, as is required for them to be liable for defamation under applicable law.”“The Times had no obvious motive to favor Lively’s version of events,” Liman added.“The Wayfarer Parties’ additional claims also fail. Accordingly, the Amended Complaint must be dismissed in its entirety.”While the judge dismissed the lawsuit, Baldoni is allowed to file an amended complaint by June 23. However, he may only include claims relevant to breach of implied covenant and tortious interference with a contract, which were also included in his complaint.Lively’s lawyers Esra Hudson and Mike Gottlieb told HuffPost that the ruling is “a total victory and a complete vindication.”“As we have said from day one, this ‘$400 million’ lawsuit was a sham, and the Court saw right through it,” the statement continued. The attorneys said they will be seeking attorneys’ fees, and treble and punitive damages from Baldoni and other Wayfarer Studios parties. Sigrid McCawley, Sloane’s attorney, told HuffPost in a statement on Monday that she was “wrongfully dragged” into this lawsuit in an attempt to damage her reputation. “Today’s decision by the Court makes clear that Sloane did nothing wrong. Sloane stands fully vindicated, and justice has been served,” McCawley said. The New York Times celebrated the lawsuit’s dismissal in a statement to HuffPost.“We are grateful to the court for seeing the lawsuit for what it was: a meritless attempt to stifle honest reporting,” a spokesperson for the Times said. “Our journalists went out and covered carefully and fairly a story of public importance, and the court recognized that the law is designed to protect just that sort of journalism. We will continue to stand up in court for our journalism and for our journalists when their work comes under attack.”“For years prior to the release of the Film, Mr. Baldoni portrayed himself asa leader of the male feminist movement, writing books, hosting podcasts, and holding TED Talks on the topic. In reality, however, Mr. Baldoni’s public persona is a stark contrast to his private behavior, which is replete with hypocrisy, misogyny, and retaliation,” Lively’s attorneys wrote in her complaint.Baldoni’s countersuit argued that Lively and Reynolds used their prestige “to steal an entire film right out of the hands of its director and production studio.”It added that Baldoni and Wayfarer only took legal action because Lively had “unequivocally left them with no choice, not only to set the record straight…But also to put the spotlight on the parts of Hollywood that they have dedicated their careers to being the antithesis of.”The trial is expected to start in March 2026.Representatives for Reynolds, Baldoni and Wayfarer Studios did not immediately reply to HuffPost’s request for comment.