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Selena Gomez Calls Wondermind Lawsuit “Absurd,” Seeks Dismissal

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Selena Gomez standing in front of a Rare Beauty sign, wearing a red and navy striped off-shoulder sweater, with makeup products displayed on a table in front of her.
Selena Gomez is fighting a fraud lawsuit tied to Wondermind, the mental health startup she co-founded. Image Credit. (Photo by Mike Coppola/Getty Images for Rare Beauty)

Selena Gomez built her name in part on being open about her mental health struggles. She is now fighting a lawsuit that alleges she used that public profile to attract investors to Wondermind. This case has put Gomez’s role in the company under scrutiny, with her legal team arguing that she was never involved in Wondermind’s day-to-day management.

Why Is Selena Gomez Being Sued?

Selena Gomez is being sued by two investor entities over claims that Wondermind fell apart behind the scenes, while investors were kept in the dark. Gomez’s mother, Mandy Teefey, co-founded the “mental health ecosystem” with her, and Gomez still lists herself as “founder/CIO” on Instagram. Investors say that title did more work than it should have.

Wondermind SRS 44 LLC and Bespoke Wondermind LLC filed suit on Aug. 20 against Gomez, Teefey and former partner Daniella Pierson, as Stereogum reported. The complaint accuses the founders of misrepresenting the company’s leadership and finances for years. They claim that “not one of its founders, officers or directors said a word” as things unraveled.

According to the investors, Gomez’s involvement was a major reason they invested. They argue that the company was already facing serious problems and investors were not given a clear picture of its financial condition.

What Do the Wondermind Investors Claim?

The investors say Gomez’s involvement was central to their decision to invest. Jeffrey Neiman, an attorney for the plaintiffs, told TMZ, “She was the pitch,” he said in comments published Aug. 26, describing Gomez’s role as a key part of the company’s appeal to investors.

The suit claims investors expected Gomez to actively promote Wondermind, not just lend her name to it. They allege that once the investment was secured, she distanced herself. They also say the company’s finances were deteriorating, which they only learned through outside reporting last year.

Selena Gomez’s attorney, Mathew Rosengart, says the fraud claims against his client are baseless. Rosengart filed a motion on Aug. 26 to dismiss the lawsuit, arguing that Gomez never had operational control over Wondermind. He called the allegations “completely meritless, both factually and legally.”

According to the filing, Gomez invested in Wondermind and held a minority stake, but management belonged to Teefey and Pierson, who ran the company as co-CEOs. Wondermind reportedly retained Gomez only as a consultant, granting her the “Chief Impact Officer” title. That distinction is likely central to whether the case survives. Gomez’s lawyers argue that her status as a founder and public face of the company did not make her responsible for its day-to-day operations.

What Happens Next in the Wondermind Case?

What happens next depends on whether a federal judge grants Gomez’s motion to dismiss. Rosengart has already said the investors “never should have dragged Selena Gomez into this case,” and raised the possibility of pursuing retaliatory legal action of his own.

The suit also lands amid a rockier stretch for Wondermind. In May 2025, Forbes reported that Teefey told employees she had taken out a loan against her home to help keep Wondermind afloat after the company missed payroll. If the case moves forward, the court could examine what investors were told about Gomez’s role and what responsibility she actually had within the company.