Selena Gomez, Mother Sued for Alleged Investor Fraud

Singer and actor Selena Gomez, her mother Mandy Teefey, and their former business partner Daniella Pierson are facing a lawsuit from investors who allege they were defrauded into investing nearly $1.2 million in their mental health startup, Wondermind, as the company was secretly collapsing. The lawsuit, filed on August 13, 2026, in federal court in Delaware, accuses the founders of securities fraud, common law fraud, and breach of contract.

The plaintiffs, two investment entities named Wondermind SRS 44 LLC and Bespoke Wondermind SPV I, LLC, claim they were misled about the company's viability and the founders' commitment. They allege that Gomez, one of the most followed celebrities on social media, was promised to be "intimately involved" as head of marketing, but that she "purported to sign a contract obligating her to perform and then ignored it." The suit states that key initiatives, including a mobile app and advertising partnerships, never materialized.

The lawsuit further alleges that Pierson misrepresented her business background and that Teefey was unfit to manage the company due to substance abuse issues, which the plaintiffs claim the founders knew would hinder...