Blake Lively Hit With ANOTHER Lawsuit - And Her Lawyers Respond!

Blake Lively will have to deal with ANOTHER lawsuit!

According to TMZ on Wednesday, the Gossip Girl star has been sued for defamation by Jed Wallace and his company, Street Relations Inc. Blake originally named both parties in her California civil rights complaint in December 2024. Jed Wallace was accused of being a subcontractor for TAG — a PR agency Justin Baldoni allegedly hired to run a smear campaign against his It Ends With Us co-star. Or as Blake put it, Jed assisted “them in their unlawful retaliatory social combat campaign” against her.

But in his filing, Wallace claims that wasn’t the case at all — and insists Blake was the one who damaged his reputation with her very public accusation!

Per the legal docs, filed in Texas on Tuesday, Jed accused the actress of falsely lumping him and his firm into the allegations against Justin — and then sending those false allegations to various outlets, such as Elle Magazine. And he claims Blake did all this despite not even including him or the company in her lawsuit filed days later. This means he wasn’t actually a defendant — despite continuous media reports saying so. Oof, yeah… That’s a tricky one.

While he isn’t even a defendant in the lawsuit, Blake allegedly asked a judge to authorize the taking of his deposition, he says — even though the accusations against him weren’t real enough to actually sue him. He claims this legal mess has cost his firm over a million dollars in losses as well as millions in reputational harm. He’s seeking $7 million and a court order stating he did not engage in harassment or retaliation against the actress, per The Hollywood Reporter. Whoa!

Clapping back at the lawsuit, Blake’s lawyers told the outlet:

“Another day, another state, another nine-figure lawsuit seeking to sue Ms. Lively ‘into oblivion’ for speaking out against sexual harassment and retaliation.”

The statement continued:

“This is not just a publicity stunt — it is transparent retaliation in response to allegations contained within a sexual harassment and retaliation complaint that Ms. Lively filed with the California Civil Rights Department. While this lawsuit will be dismissed, we are pleased that Mr. Wallace has finally emerged from the shadows, and that he too will be held accountable in federal court.”

Oof! The legal fight continues… See more thoughts on all this (below)!