The insurer covering Justin Baldoni’s studio Wayfarer for work on It Ends With Us has sued him and the studio, stating that its policies don’t cover the claims made by Blake Lively in her sexual harassment lawsuit.
Harco National Insurance Company – the insurer in question – filed a lawsuit on Monday stating that the two policies that Wayfarer took out with them ran between 15 July 15 2023 and July 15, 2024, and a second running from 15 July 2024 to 15 July, 2025. Therefore, the lawsuit alleges that ‘Lively and others complained of sexual harassment during pre-production and production of the Film,’ which was as early as May 2023, outside the time parameters of the policy.
The insurance company has advised that it ‘will not provide coverage for claims or incidents which the applicant is aware of prior to the inception date of any coverage that is offered and accepted.’
The accusations listed in Lively’s complaint against Baldoni include sexual harassment; retaliation; failure to investigate, prevent and/or remedy harassment; aiding and abetting harassment and retaliation; breach of contract; intentional infliction of emotional distress; negligence; false light invasion of privacy and interference with prospective economic advantage.
Baldoni then filed a $400 million countersuit, which claimed that Lively and her husband, Ryan Reynolds, orchestrated a smear campaign against him. His countersuit was dismissed by a judge earlier this month.
‘Despite the acknowledged pre-July 2023 complaints by Lively and others, Wayfarer’s July 2023 Application for the 2023 Policy includes a letter from Wayfarer which warrants that no person or entity for whom the insurance is intended has any knowledge or information of any act, error, omission, fact or circumstance which may give rise to a claim which may fall within the Employment Practices Liability coverage if issued by Harco (the “2023 Warranty”),’ the lawsuit states.
‘Despite this notice, and despite the November 2023 Demand and additional allegations of sexual harassment presented by Lively during a January 2024 meeting, Wayfarer’s 2024 Renewal Application advised Harco that there was no claim, notice of potential claim, or any situation that may give rise to a claim within the last 12 months,’ it continues.
'There was no claim or notice or potential claim.'
Essentially, Harco are alleging that they were not informed of Blake Lively‘s complaints, which were a precursor to the litigation that followed, during the filming of It Ends With Us.
The ongoing legal issues come after latest developments in Lively's initial lawsuit saw her deposed by Baldoni's team ahead of trial. Lively was granted a protective order by the judge presiding over the case, after her team feared Baldoni's would make a public spectacle it and that content creators would be invited to the should-be private deposition - which took place on 17 July.
The director’s legal team was therefore asked to identify everyone who will attend her deposition, They were required to give two days notice as to who will be attending.
Before this motion was granted, Baldoni’s team suggested that the Gossip Girl actor was using her ‘celebrity status’ as well as trying to dictate and control the deposition, ‘at a location of her choosing.’
‘Lively is a plaintiff who has hurled serious allegations of misconduct against the Wayfarer Parties,’ a letter from Baldoni’s team reads. ‘Like all defendants, the Wayfarer Parties are entitled to depose Lively to develop evidence crucial to their defense. They are also entitled to choose the location of the deposition, which they did.’
His team also referred to Lively’s requests as examples of ‘foot stomping’ referring to her lawyer’s behaviour as a ‘tantrum,’ and that she has used her celebrity status to ‘seize control’ of It Ends With Us, which Baldoni and Lively both starred in.
Statements were made by Baldoni’s lawyer Bryan Freedman about holding Lively’s deposition at New York City’s Madison Square Garden.
‘Hold the deposition at MSG, sell tickets or stream it, and donate every dollar to organisations helping victims of domestic abuse,’ he told People in an interview. Freedman has also subpoenaed Taylor Swift as part of his legal strategy, who he has claimed was the target of an extortion effort by Lively.
The date for Lively and Baldoni's trial is set for March 2026 and will be held in New York City. Lawyers for both actors have indicated that both plan to testify during the proceedings.