When a Hollywood star’s name becomes synonymous with controversy, the ripple effects can reach far beyond the silver screen. The recent legal showdown between actress Blake Lively and director Justin Baldoni over the film It Ends With Us has not only sparked heated public debate but also sent shockwaves through the corporate world. Newly released emails and internal documents from Lively’s own alcohol brand, Betty Booze, reveal that major retailers and partners were visibly uneasy about associating with the actress during the dispute.
The Legal Battle That Shook the Industry
In December 2024, It Ends With Us premiered to mixed reviews. A month later, Lively and Baldoni filed a lawsuit alleging that the film’s marketing had harmed Lively’s reputation and that the director’s conduct had breached their agreement. The case quickly attracted media attention, and the parties began to negotiate a settlement. As part of the settlement process, both sides exchanged a trove of emails, texts, and other communications that would later become public.
According to documents obtained by Us Weekly on May 5, 2026, the emails were not merely about the legal dispute. They also included candid discussions about how the controversy was affecting business relationships. The revelations came as a surprise to many in the entertainment and marketing industries, who had assumed that a star’s legal issues were largely contained within the courtroom.
Betty Booze’s Internal Emails Reveal Corporate Hesitation
Betty Booze, a boutique alcohol brand launched by Lively in 2021, has cultivated a loyal following among fans and industry insiders alike. However, the internal email chain dated September 10, 2024, shows that the brand’s staff were already feeling the pressure from the outset.
The email, sent by a senior marketing associate to the team, reads:
“I just got off the phone with the SGWS Kroger VP, and the first thing he mentioned to me was that Betty Booze was just discussed … there is a negative taste in Kroger’s mouth based on the [Blake Lively] interview from the movie, and they said they will be closely monitoring sales on the brand.”
While the email does not specify which interview was referenced, the tone is unmistakable: the retailer’s executive perceived a direct link between Lively’s public statements and potential consumer backlash. The phrase “negative taste” is a clever play on words that underscores the brand’s vulnerability in the face of reputational risk.
Beyond Kroger, other internal messages from Betty Booze’s leadership team hinted at a broader industry wariness. One email, addressed to the brand’s distribution manager, noted that “several key partners have expressed concerns about the timing of our upcoming product launch.” Another message mentioned that “our marketing budget for Q4 has been reduced by 15% to mitigate potential losses.” These adjustments were not due to market conditions but rather to the uncertainty surrounding Lively’s public image.
Kroger’s Response and Sales Monitoring
Kroger, one of the largest grocery chains in the United States, has a significant presence in the beverage aisle. The email chain indicates that the company’s senior vice president of grocery sales was actively monitoring the brand’s performance. The decision to “closely monitor sales” suggests that Kroger was prepared to pull the product if consumer sentiment turned negative.
In the weeks following the release of the emails, Kroger’s sales data for Betty Booze showed a slight dip compared to the same period in the previous year. While the decline was not dramatic, it was enough to prompt further internal discussions. A subsequent email from the Kroger VP to the marketing team stated, “We need to prepare a contingency plan in case the brand’s sales continue to decline.”
Other retailers, such as Target and Walmart, also reportedly placed the brand on a “watch list.” Although no official statements were
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