Originally appeared on E! Online
Selena Gomez is under fire from investors of her mental health startup Wondermind.
The “My Mind & Me” singer, her mom Mandy Teefeyand their company co-founder Daniella Piersonare among the defendants named in a securities fraud and breach of contract lawsuit alleging that nearly $1.2 million was invested in Wondermind over false representations.
In court documents obtained by E! News Aug. 13, limited liability companies Wondermind SRS 44 and Bespoke Wondermind SPV claim leadership made multiple misrepresentations to investors—including that Gomez, 34, would be “intimately involved” in the company.
“Gomez purported to sign a contract obligating her to perform and then ignored it,” the complaint read. “The partnerships did not exist. The initiatives never materialized. The app was never built. And for three years, while the Company quietly collapsed around them, not one of its founders, officers, or directors said a word to the investors whose money was funding the collapse.”
The suit said investors didn’t learn of Wondermind’s alleged mismanagement until The Cut published a September 2025 article in which Teefey was accused of doing drugs at Wondermind’s office by former employees. (Teefey has denied the allegations.)
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The complaint also cited an August 2025 Forbesexposé detailing company tension that allegedly led Teefey, 50, to oust Pierson, 31, less than two years after Wondermind’s launch.
In response, Pierson’s spokesperson told the publication that she “would not characterize it as ‘pushed out.'”
“Leaving Wondermind was a very difficult decision,” the company co-founder’s spokerperson added, “but she was proud of what they had built in the time there.”
E! News has reached out to reps for Gomez, Teefey and Pierson for comment on the lawsuit but hasn’t heard back.
The trio launched Wondermind in 2021 to create “a space to work it all out every day with candid conversations, physical tools, daily content, and a supportive community,” according to the company’s website.
“Through the years, we’ve each had our own mental health struggles,” its mission page read. “One day, we were all talking about it and realized there was no easy, inclusive space where people could come together to explore, discuss, and navigate their feelings. So we thought, why not make it happen? And Wondermind was born.”
For Gomez, who has been open about her personal struggles with depression, it was vital for her to use her platform to elevate mental health awareness.
“Something I’ve always tried to do in my career is make sure I lend my voice to places where it matters,” she toldEntrepreneurin November 2021. “And I have to give my mom credit for that because she taught me everything.”
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