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Selena Gomez Sued by Investors Over Mental Health Startup

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Selena Gomez is facing a lawsuit from five investors who backed Wondermind Global, the mental health company she co-founded with her mother, Mandy Teefey, and entrepreneur Daniella Pierson.

The investors are seeking to recover about $1.2 million they say they put into the business, along with damages and legal costs. The lawsuit alleges that Gomez and the other founders made commitments about the company’s plans and operations that were not fulfilled.

Photo: Getty Images

A central allegation concerns Gomez’s role in Wondermind’s development. According to the complaint, investors were told she would be “actively building” the company as its head of marketing. The claim further alleges that Gomez signed an agreement to perform those duties but later failed to do so.

The investors also allege that Wondermind was presented as having several revenue-generating initiatives in development, including advertising partnerships, celebrity cover stories and a mobile app. The complaint also alleges that investors were told Wondermind had secured institutional partnerships with JPMorgan and Fidelity, which were expected to generate advertising revenue. According to the lawsuit, none of those initiatives or partnerships materialised.

Wondermind was founded in 2021 with the goal of making mental health and wellness content more accessible. Gomez had already spoken publicly about her own experiences with mental health.

The investors claim Wondermind struggled financially and eventually failed to meet basic business obligations, including paying employees and vendors on time. They also allege that they were not properly informed about the company’s financial and operational problems.

According to the complaint, the investors only became aware of the extent of Wondermind’s difficulties after September 2025 investigation by The Cut examined the company’s finances and management.

Photo: Getty images

After learning about Wondermind’s financial and operational problems, the investors allegedly demanded that their money be returned. According to the lawsuit, Teefey told them that the funds would be placed in an escrow account for repayment, but the money was never returned. The investors say their attempts to obtain repayment and further information eventually went unanswered, leaving them to seek the return of their investments through the lawsuit.

Gomez remains listed as a co-founder on Wondermind’s website, while her mother now serves as chief executive following Pierson’s departure from the company.

The lawsuit does not establish that the allegations are true. Gomez and Wondermind have been contacted for comment, but neither had responded at the time of publication.

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