08/19/2026
A Shameless Look at the Law:
A group of investors have filed a lawsuit against Selena Gomez, the famous musician and former Disney actress, alleging that Gomez and her mother, Mandy Teefey, defrauded the Plaintiffs out of $1.2 million in investments in a mental health and wellness platform called “Wondermind.”
As explained in the Complaint, Wondermind was launched in 2021. In 2022, at the time of the Company’s Series A offering, the Company merely had a “vision” that it sold to investors. This vision included an editorial publication, a mobile app, an original podcast, and related wellness products. The vision allegedly deceived the Plaintiffs into thinking they would see a return on their investment.
The Complaint alleges that Gomez, Teefey, and Daniella Pierson, the former chief executive of Wondermind, directly induced Plaintiffs to invest by promising that Gomez would have an active role in the Company, that Pierson was an experienced executive who had already secured institutional employer partnerships, and that a “full slate of revenue-generating initiatives” were already underway. However, the Plaintiffs allege, “[t]he 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 Plaintiffs allege that their “most salient consideration” was the representation that Gomez would be actively involved in the Company. The Plaintiffs allegedly invested in Wondermind after being assured that Gomez, who has 404 million followers on Instagram alone, would market the Company to her “pre-existing, substantial, and loyal follower base.” Though not mentioned in the Complaint, Gomez founded Rare Beauty, a cosmetics brand that is worth approximately $2.7 billion and is described as “the fastest-growing celebrity beauty brand on social media.” Gomez’s monumental success with her beauty business may have also contributed to the investor’s expectations.
In August 2025, Forbes published an article about Pierson that accused the Wondermind executive of misrepresenting her business acumen. After the article was published, Teefey informed investors that Pierson had been ousted from the Company in early 2023 after she had misappropriated Company assets to “fund her lavish lifestyle,” including her $60,000 monthly rent for an apartment in New York City. The Plaintiffs were allegedly not given this information until they reached out to Teefey following the publication of the Forbes article.
Shortly after, in September 2025, The Cut published an article about Wondermind that “recounted, in painstaking detail, the significant operational, financial, and management issues at the Company.” For the first time, the Plaintiffs learned that Wondermind “had no plan for its future.” Instead, the Plaintiffs learned that Gomez was disinterested in the Company, Teefey and Pierson had a hostile relationship, and Teefey’s performance was materially altered due to alleged substance abuse issues. The investors allege that once they demanded the return of their investment, they were essentially ghosted by the Defendants.
The Complaint alleges multiple counts of securities fraud as well as breach of contract, recission due to failure to satisfy conditions precedent, conversion, and unjust enrichment. Wondermind’s website currently indicates that Teefey and Gomez are co-founders and the apparent leaders of the Company.
Gomez’s lawyer called the lawsuit “completely meritless, both factually and legally.” Pierson has stated that she “categorically denies the allegations against her and welcomes the opportunity to present concrete documentation and financial records that establish the facts.” Teefey has yet to comment on the lawsuit.
In a new lawsuit, investors say they gave $1.2 million to Wondermind to build out the company’s products and expected Gomez to be involved in marketing.