Selena Gomez’s legal counsel has vehemently denied allegations of fraud leveled against the singer and her mother, Mandy Teefey, in a lawsuit concerning their mental health company, Wondermind.
Mathew S. Rosengart, attorney for Gomez, stated on Saturday that the accusations of any wrongdoing by the singer are "completely meritless, both factually and legally." He further announced plans to "vigorously defend these false allegations" and file a motion to dismiss the claims.
The lawsuit, filed on August 13 by two companies, Wondermind SRS 44 LLC and Bespoke Wondermind LLC, alleges that Gomez, Teefey, and former business partner Daniella Pierson defrauded investors. The plaintiffs claim they invested $1.2 million into Wondermind in September 2022 but were misled about the company’s capacity to launch as a profitable mental health platform.
Investors assert that they were led to believe Wondermind possessed the necessary infrastructure, leadership, and resources for success. The suit claims that Gomez, 34, failed to fulfill her contractual obligation to actively promote the company as its head of marketing using her public profile.
According to the investors’ court documents, the partnerships and planned initiatives never materialized, and the app was never built. They allege that Wondermind "quietly collapsed" over three years, with Gomez, Teefey, and Pierson accused of concealing the company's financial struggles from investors.
Investors reportedly learned of the company's difficulties in September 2025, following an article in The Cut that described Wondermind as being in "utter financial and operational disarray." Months prior, in May 2025, Forbes reported that Wondermind laid off 60% of its 15-person staff after employees claimed they had not been paid for weeks.
Forbes also reported that the company owed tens of thousands of dollars to freelancers and vendors, with a Wondermind spokesperson attributing the issues to "growing pains."
The lawsuit also touches on allegations previously reported by The Cut regarding Teefey's alleged "long-running substance abuse problem," which the report claimed "significantly impeded her capacity" to manage Wondermind. Teefey has denied these claims, calling them lies spread by disgruntled employees.
Investors further allege in the lawsuit that Teefey, 50, attempted to shift blame to Pierson, who was removed from the company in January 2023 following an internal dispute with Teefey. The suit also points to a reportedly strained relationship between Gomez and Teefey, suggesting Gomez distanced herself from the company due to undisclosed personal disputes with her mother.
The plaintiffs contend that Gomez and Teefey were aware that their personal issues made their joint involvement in Wondermind unfeasible. Additionally, investors claim that Wondermind's pitch materials improperly used the names of A-list celebrities to suggest momentum that never materialized.
The investors are seeking the return of their investments, damages, costs, and attorney's fees through a jury trial, citing security fraud.