Taylor Swift and Blake Lively’s friendship breaks down amid Justin Baldoni's legal storm

Blake Lively and Taylor Swift’s friendship may not be officially over, but it’s certainly on pause.

Blake Lively, 37, and Taylor Swift’s, 35, once-close friendship has hit a rough patch, as Lively’s escalating legal battle with It Ends With Us director and co-star Justin Baldoni pulls Swift deeper into the fray.

Multiple sources told People that the two stars are “taking space,”.

On May 8, the singer-songwriter was hit with a subpoena from Baldoni’s legal team — an aggressive move that reportedly shattered what one source called an already “fragile peace.”

Another insider didn’t sugarcoat it: “Their friendship has halted… Taylor wants no part in this drama.”

It’s a surprising turn for the long-time besties, who’ve been close since 2014, with Swift even named godmother to Lively’s children.

But as the lawsuit gains steam, their relationship appears to be slipping into silence.

Adding fuel to the fire?

A claim from Baldoni’s legal team that Lively referred to Swift as one of her “dragons” in a private text, allegedly using her famous friends as leverage.

The ripple effects have reached American fashion model Gigi Hadid, too.

It has been reported that the model has cooled things with Lively and aligned herself with Swift.

“Gigi doesn’t want to get involved,” one source said.

“But she is closer to Taylor and has stepped back.”

The legal drama kicked off in December, when Lively accused Baldoni of sexual harassment and retaliation, allegations he denies.

He fired back with a $US400 million ($A600 million) countersuit, accusing the actress and husband Ryan Reynolds of defamation and extortion.

Lively’s legal team has dismissed the move as “vengeful” and “meritless.”