Selena Gomez and her mother, Mandy Teefey , are facing a federal lawsuit filed August 14, 2026, over allegations tied to their mental wellness startup Wondermind. Two investor backed companies claim Gomez, Teefey and cofounder Daniella Pierson misrepresented the company’s plans, partnerships and leadership before raising $1.2 million. Wondermind launched in November 2021 as a brand built around mental fitness tools and practices. According to the Delaware complaint, investors were told an app would anchor the business, while major advertising partnerships, celebrity driven campaigns and media appearances would help turn Wondermind into a profitable operation. What Are Investors Claiming? The lawsuit alleges that the promised partnerships never existed, the revenue initiatives failed to launch and the central app was never completed. The investors also claim the founders stayed silent for roughly three years as Wondermind allegedly deteriorated, and they are seeking to cancel the investment agreement plus recover damages for securities fraud, common law fraud and breach of contract. “The app was never built,” the complaint alleges. Pierson, a 31 year old entrepreneur who founded The Newsette as a college sophomore, disputed the claims in a statement to USA Today. Her representative said Pierson invested her own money, took no salary and never used investor funds for personal expenses, while Pierson said she welcomed the chance to provide financial records and documentation in court; the available report does not include a response from Gomez or Teefey.