Investors Just Sued Selena Gomez and Her Mom

A mental-health startup backed by Selena Gomez is now at the center of a federal fraud suit, reports Reuters. Two investor groups say Wondermind—co-founded in 2021 by Gomez; her mother, Mandy Teefey; and entrepreneur Daniella Pierson—misled them about everything from its leadership and products to celebrity-driven growth plans, then kept quiet as the company unraveled, per NBC News. Investors say they put nearly $1.2 million into the venture, with promises of an app, podcasts, wellness products, major ad deals, and heavy involvement from Gomez that allegedly never materialized.

The suit claims Wondermind struggled to pay workers and vendors and was not a viable business. The investors say they didn't grasp the extent of the problems until a 2025 news story at the Cut, and are seeking their money back plus legal costs. 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 lawsuit alleges, per USA Today. Representatives for Gomez and her mother have not commented. Pierson denies wrongdoing and says she can document that investor money wasn't spent on her personal expenses, as alleged in the suit.