Selena Gomez is fighting back against fraud allegations tied to Wondermind, the mental health startup she launched with her mother, Mandy Teefey, and former business partner Daniella Pierson.
Through her attorney, Mathew S. Rosengart, Gomez has made it clear that she plans to challenge the lawsuit head-on. Rosengart called the fraud allegations “completely meritless” and said his legal team will file a motion to dismiss the case.
“We will vigorously defend these false allegations,” Rosengart said, arguing that the claims have no basis in fact or law.
Two investment groups filed the federal lawsuit in Delaware, alleging that they invested nearly $1.2 million in Wondermind after receiving promises about the startup’s leadership, partnerships and business plans.
According to the complaint, the investors expected Gomez to take an active role in the company’s marketing efforts. They also claim Wondermind told them it had corporate partnerships and revenue-generating initiatives underway.
The investors say those promises never materialized.
They allege Wondermind failed to develop the mobile app they expected and later struggled with serious financial and operational problems. The lawsuit accuses Gomez, Teefey, Pierson and Wondermind of securities fraud and other misconduct.
The investors want to recover their money, along with damages and legal fees. They have also requested a jury trial.
Rosengart has rejected the allegations outright rather than addressing each claim individually.
“The allegations that Selena Gomez engaged in any way whatsoever in any purported ‘fraud’ or other wrongdoing are completely meritless, both factually and legally,” he said.
Gomez’s legal team now plans to seek dismissal of the case. The motion will give the singer’s attorneys an opportunity to formally challenge the investors’ claims and argue why the lawsuit should not proceed.
Pierson has also pushed back against the lawsuit.
A representative for the Wondermind co-founder said she “categorically denies” the allegations and has documentation and financial records to support her position.
The representative also rejected claims that Pierson used investor money for personal expenses. According to the statement, Pierson invested her own money in Wondermind and did not receive a salary from the company.
Teefey has not publicly responded to the lawsuit.
The lawsuit follows reports that surfaced in 2025 about serious problems inside Wondermind.
Investors claim media reports revealed financial and operational issues that caught them off guard. Those reports raised questions about the company’s staffing, management and unpaid employees and vendors.
Gomez, Teefey and Pierson launched Wondermind in 2021 as a platform focused on mental health and “mental fitness.” The company has produced articles, newsletters, podcasts and other content as part of its mission.
However, the investors argue that Wondermind failed to deliver on several larger business plans presented to them.
The legal dispute remains in its early stages. Gomez’s attorneys plan to file a motion to dismiss, while the investors continue to pursue their claims.
For now, the allegations remain unproven claims in an ongoing lawsuit. Gomez and Pierson have both strongly denied wrongdoing, setting the stage for a legal battle over Wondermind’s business operations, investor expectations and the events that led to the company’s financial struggles.
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