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Business Insider·4 min read·medium

What investors say went wrong at Selena Gomez's mental health startup Wondermind

What investors say went wrong at Selena Gomez's mental health startup Wondermind
✦AI Summary

Investors have filed a federal lawsuit against Selena Gomez and her co-founders, alleging fraud and misrepresentation regarding the mental health startup Wondermind. The plaintiffs claim the company failed to build promised infrastructure, secure partnerships, or launch the app as advertised.

Why it matters

The case highlights the risks associated with celebrity-backed startups and the importance of due diligence in venture capital investments.

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Wondermind investors named Selena Gomez in a federal lawsuit filed on Thursday. Michael Buckner/2026GG/Penske Media via Getty Images Several Wondermind investors have filed a lawsuit against the company and its founders, including Selena Gomez. Gomez cofounded the startup with her mother, Mandy Teefey, and Daniella Pierson. A lawyer for Gomez called the allegations "completely meritless." Selena Gomez set out to create "the world's first mental fitness ecosystem." Instead, the startup is becoming her own personal headache. A federal lawsuit filed Thursday offers a detailed account of what investors say went wrong at Wondermind — from an app that was never built to major corporate partnerships they allege never existed. Gomez launched the startup in 2021 alongside her mother, Mandy Teefey, and Daniella Pierson , a business partner. The lawsuit accuses Gomez, her cofounders, and Wondermind of defrauding investors, among other claims.

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