Investors filed a federal lawsuit Thursday against Selena Gomez, her mother Mandy Teefey and co-founder Daniella Pierson, alleging securities fraud and breach of contract. The plaintiffs, Wondermind SRS 44 and Bespoke Wondermind SPV, claim they invested nearly $1.2 million in the mental health startup Wondermind under false pretenses.
The lawsuit, filed in Delaware federal court, centers on allegations that the defendants misrepresented Gomez's involvement, Pierson's business acumen, Teefey's suitability for leadership and the company's growth trajectory.
The plaintiffs said they were falsely told Wondermind had the necessary infrastructure, proper leadership, established partnerships and advertising deals. The complaint says, "The partnerships did not exist. The initiatives never materialized. The app was never built."
Investors specifically cited a May 2022 meeting and subsequent June 2022 email correspondence with Pierson, during which Pierson allegedly misrepresented her business success and claimed Wondermind had secured partnerships with JPMorgan and Fidelity, expected $5 million in ad revenue and already had 150,000 subscribers. Pierson also provided a document suggesting the company's valuation could exceed $4 billion.
The lawsuit alleges those claims were false. Investors said they did not learn of Wondermind's problems until Forbes published an article detailing Pierson's exaggerations about her lifestyle newsletter's readership and valuation.
Following the Forbes report, investors sought an explanation from Teefey. Teefey then alleged that Pierson had "misappropriated investor funds" to cover her New York apartment rent and other personal expenses.
The complaint also references a September 2025 article in The Cut that detailed allegations of company mismanagement and substance abuse by Teefey, alongside Gomez's reported efforts to distance herself from Wondermind due to an alleged rift with her mother.
For three years, the plaintiffs claim, the company quietly collapsed. They allege that none of its founders, officers or directors communicated with the investors whose money funded the operation.
The lawsuit seeks to recover the nearly $1.2 million invested, citing multiple counts of fraud and breach of contract against Gomez, Teefey, Pierson and Wondermind.
