Singer Selena Gomez and her mother accused of defrauding Wondermind investors

Investors sued Selena Gomez, her mother Mandy Teefey, and former business partner Daniella Pierson, along with their company Wondermind, alleging securities fraud, common law fraud and breach of contract. The plaintiffs, Wondermind SRS 44, LLC and Bespoke Wondermind SPV 1, LLC, say they invested close to $1.2 million after being told revenue streams including a "groundbreaking" app, advertising deals and celebrity cover stories were already in motion, and are seeking rescission of their investments along with damages and costs.

Gomez's attorney, Mathew S. Rosengart, called the allegations against her "completely meritless, both factually and legally," and said the team will file a motion to dismiss what he called baseless claims. A representative for Pierson separately denied the allegations against her, saying she never used investor funds for personal expenses and instead put her own money into the business without drawing a salary.

At the center of the suit is a claim that the company's problems were hidden from investors: "for three years, while the Company quietly collapsed around them, not one of its founders, officers, or directors said a word," the complaint alleges. Plaintiffs say they didn't learn the extent of it until The Cut published an investigation into the startup last year, reporting tension between Gomez and her mother and a power struggle between Teefey and Pierson; the suit itself goes further, alleging what it calls Teefey's "substance abuse disorder and her gross mismanagement" of the company and Gomez's "abject dereliction of her duties."

Pierson faces some of the suit's most specific allegations. She's named as the sole defendant on one securities fraud count, accused of making "misstatements or omissions" to encourage investors' stock purchases, along with claims of conversion and unjust enrichment; the suit also cites an August 2025 Forbes article that alleged she inflated the readership and valuation of her newsletter, The Newsette, during business pitches.

A representative for Pierson said she "categorically denies the allegations against her and welcomes the opportunity to present concrete documentation and financial records that establish the facts." The rep added that Pierson "has never used investor funds for personal expenses" and instead "invested her own money into the business and did not draw a salary from the company."

Teefey has not responded to a request for comment, and no motion to dismiss had been filed publicly at the time of the report. The case surfaces just as Gomez's music career stays active, following her single Te Olvido (La La) with Benny Blanco and Becky G and its companion video, part of the site's ongoing pop coverage.