Blake Lively’s lawsuit against Justin Baldoni hits major setback as judge dismisses key player from case

Blake Lively’s claims against social media PR specialist Jed Wallace — whom she accused of assisting Justin Baldoni’s PR team in an alleged smear campaign — have been dismissed.

Judge Lewis Liman granted Wallace’s request to remove himself and his company, Street Relations, Inc., from the actress’ civil rights lawsuit on Wednesday. Liman cited lack of jurisdiction for the reason, given that Wallace is based in Texas and not New York — where Lively filed the case — in court documents obtained by Page Six.

“The Wallace Defendant’s motion to dismiss must be granted because the Court lacks personal jurisdiction over them,” the court documents said.

“The Wallace Defendants are located in Texas, and Lively has not alleged that they are responsible for any act that would subject them to jurisdiction in New York. … The few alleged actions targeting New York were taken by others, and there are no allegations suggesting the Wallace Defendants were aware of them.

“Therefore, the Wallace Defendants cannot be forced to defend this lawsuit in New York.”

If Lively wants to continue to pursue her claims against Wallace, she has to amend her complaint or do so in another forum.

Wallace’s attorney, Chip Babcock of Jackson Walker, LLP, said in a statement to Page Six, “Mr. Wallace and Street Relations very much appreciate the judge’s thoughtful and thorough opinion.”

Lively’s rep didn’t immediately respond to Page Six’s request for comment.

Lively has alleged that Wallace “weaponized a digital army” to “create, seed, and promote” disparaging content about her after being hired by Baldoni’s PR team, which Wallace denied.

In February, Wallace filed his own lawsuit against her. He claimed that the actress defamed him and his company when she filed her December 2024 complaint against Baldoni — in which she accused the “Jane the Virgin” alum of sexual harassment and attempting to destroy her reputation as retaliation — with the California Civil Rights Department.

Lively’s legal team slammed the lawsuit in a statement to Page Six at the time.

“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 read.

“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.”