Investors sue Selena Gomez, claiming her wellness startup Wondermind's app was never built; complaint alleges securities fraud and breach of contract

Investors are suing Selena Gomez and her wellness startup Wondermind, alleging securities fraud and breach of contract. They claim to have invested nearly $1.2 million based on false promises, including that the app was never built and that the company misrepresented its finances and Gomez's involvement.

The Next Web14 August 2026 · 06:02 UTC
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Investors are suing Selena Gomez and her wellness startup Wondermind, claiming securities fraud and breach of contract. The complaint alleges that they invested nearly $1.2 million based on commitments that were never fulfilled, including the assertion that the app was never built.12367

The lawsuit, filed against Gomez and her mother, Mandy Teefey, states that the investors were kept in the dark about the company's financial mismanagement. They assert that Gomez “purported to sign a contract obligating her to perform and then ignored it”, and that promised partnerships “did not exist” while initiatives “never materialised”.

The plaintiffs claim that executives remained silent for approximately three years as the company “quietly collapsed”, only realizing the extent of the issues after a September 2025 article in The Cut revealed the situation. They are seeking the return of their investment plus legal fees, a modest sum by Silicon Valley standards but significant given the reliance on Gomez's celebrity.45

Neither Gomez nor Wondermind has responded to the allegations, leaving the claims unchallenged as the case moves forward in court.

Key Insight
“The investors, who put in nearly $1.2mn, say they were kept in the dark for about three years while the company quietly collapsed, only learning the truth after a September 2025 story in The Cut. Neither Gomez nor Wondermind has responded to the claims, leaving the allegations to play out in court.”
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“Selena Gomez, one of the most-followed people on the planet, is being sued by investors who say her mental-health startup Wondermind was a hollow promise dressed up as a movement.”
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