Blake Lively's getting back out into the world now that she's agreed to a settlement in her case against Justin Baldoni ... hitting a big-time fashion event in New York City.

The actress strutted into an event for the brand Fendi in New York City Tuesday evening ... flashing a huge grin for the cameras.

BL sizzled in her outfit ... turning heads -- as she usually does -- in a tight, low-cut tank top and high-waisted jeans under a long trenchcoat.

Her evening out marks another step forward past her legal drama with Justin Baldoni.

As you know ... Lively and Baldoni agreed to terms right before their case went to trial -- likely to avoid the uncomfortable experience of getting grilled on the stand.

No money changed hands in the settlement ... and Lively didn't even get an apology from her former costar.

Lively's still trying to get Baldoni to cover her attorneys' fees ... but, given how the lawsuit has gone in recent months, the outlook doesn't look good.