
Blake Lively smear campaign allegations against a New York crisis PR firm moved closer to trial on Thursday after a Manhattan federal judge rejected a bid by The Agency Group to dismiss the case, clearing the path for proceedings set for 18 May 2026. The dispute, brought by Lively, claims that the firm helped orchestrate a retaliatory online and media strategy following her allegations of on-set sexual harassment against director Justin Baldoni during the making of It Ends With Us.
Judge Lewis Liman, sitting in the Southern District of New York, ruled that the company could still be held liable under California employment law arguments advanced by Lively. The legal fight stems from the 2024 release of It Ends With Us, in which Lively starred alongside Baldoni, who also directed the adaptation of Colleen Hoover's bestselling novel.