Five investors have filed a lawsuit against Selena Gomez, her mother Mandy Teefey, and former business partner Daniella Pierson, claiming they were misled about their $1.2 million investment in the mental health platform Wondermind.
A group of five investors filed suit Thursday against Selena Gomez and others involved with Wondermind, a mental health media platform launched in 2021, alleging they were deceived about the company's financial health and prospects. The investors claim they contributed $1.2 million in 2022 based on representations that Gomez would use her significant social media presence to expand the company and that it had achieved a $95 million valuation.
According to the lawsuit, investors were promised corporate partnerships with major financial institutions and media opportunities, including an advertising strategy, celebrity features, and a dedicated mobile application. The plaintiffs allege that none of these initiatives materialized. The suit names Gomez as co-founder and chief impact officer, her mother Mandy Teefey as co-chief executive officer, and former business partner Daniella Pierson as defendants, charging them with securities fraud, common law fraud, and breach of contract.
The investors reportedly learned of the company's troubles through a 2023 article published by The Cut, which documented internal conflicts and organizational dysfunction. The lawsuit claims that Gomez failed to fulfill her contractual responsibilities due to personal tensions with her mother. Additionally, the suit alleges that Pierson used approximately $60,000 monthly from investor funds toward her New York City rent. In response, Pierson denied the allegations and stated she never used investor money for personal expenses. Wondermind, Gomez, and Teefey have not yet commented on the matter.
