Selena Gomez and her mother Mandy Teefey face a new lawsuit regarding their mental health startup, Wondermind. Investors allege they contributed nearly $1.2 million to the company under false pretenses, claiming the founders misled them about the state of the business.
The lawsuit suggests that investors were promised a groundbreaking app and significant advertising deals that never materialized. Plaintiffs argue that for three years, while the company faced internal collapse, the leadership failed to inform them of the financial and operational realities. The court filing includes allegations of mismanagement, internal power struggles, and failures to pay staff or vendors on time.
Beyond the initial investment issues, the lawsuit details significant tension between the founders. Claims include reports of operational disorder and a lack of involvement from Gomez herself. A separate claim targets former co-founder Daniella Pierson, alleging she provided false data regarding newsletter readership and valuation during investment pitches.
The legal action seeks rescission of investments along with damages and costs for those who backed the firm. As of now, representatives for the parties involved have not provided public responses to the claims made in the court documents.