Selena Gomez and her mother, Mandy Teefey, are named in a securities fraud lawsuit filed Aug. 13 in Delaware federal court by investors in their mental health startup, Wondermind.
According to the complaint, five investors allege they put roughly $1.2 million into the company in 2022, believing Gomez - listed as co-founder and "chief impact officer" - would use her social media following of more than 500 million to help grow the platform. The lawsuit claims that promised partnerships, including with major financial firms, "did not exist," and that a planned mobile app "was never built."
The suit alleges the company quietly struggled for roughly three years without informing investors, until a September 2025 report first exposed internal issues. Former co-founder Daniella Pierson, also named in the suit, has publicly denied the allegations against her and says she'll present financial records to support her defense. Gomez, Teefey and Wondermind have not yet responded publicly to the claims.
Wondermind launched in 2021 with a stated mission of making daily mental health resources more accessible and normalizing conversations around emotional wellbeing - a goal that mirrors values many faith communities have long championed: that no one should carry struggles in silence.
The lawsuit seeks compensatory and punitive damages; a trial date has not been set.
