Selena Gomez’s Lawyer Calls Wondermind Fraud Claims ‘Completely Meritless,’ Vows to Move to Dismiss

Maja SenicSat, August 15, 2026 at 11:20 PM UTC

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Image Credit: Featureflash Photo Agency / Shutterstock.

Selena Gomez is pushing back against fraud allegations tied to her mental health startup Wondermind, with her lawyer saying the claims against her are both factually and legally without merit.

Litigator Mathew S. Rosengart told PEOPLE that allegations Gomez participated in fraud or other wrongdoing are "completely meritless." He said her legal team will vigorously defend her and is filing a motion to dismiss what he called the "baseless claims against her."

The response comes after Wondermind SRS 44 LLC and Bespoke Wondermind LLC sued Gomez, her mother and fellow cofounder Mandy Teefey, former cofounder Daniella Pierson and Wondermind Global. The plaintiffs say they committed nearly $1.2 million after receiving representations about the company's leadership, infrastructure, business prospects and Gomez's involvement.

No court has ruled that Gomez or the other defendants committed fraud. Rosengart's promised dismissal motion will challenge the allegations against Gomez, while Pierson has separately "categorically" denied the claims made against her.

Investors Say Gomez Was Supposed to Play an Active Marketing Role

According to Reuters, the investors say they were told Gomez would be actively involved in building the business as its head of marketing. They allege that commitment was important because of her celebrity status and social-media reach.

"Gomez purported to sign a contract obligating her to perform and then ignored it," the complaint alleges. The investors also point to initiatives they say were presented as part of Wondermind's growth plans but never materialized, including a mobile app.

The plaintiffs allege Wondermind's leadership made false representations about the company's infrastructure, partnerships, resources and growth prospects and then failed to disclose operational and financial problems while the business deteriorated.  According to the lawsuit, the investors did not understand the extent of Wondermind's difficulties until outside reporting exposed problems at the company in 2025.

Gomez’s Side Says Her Role Was Not Day-to-Day

Image Credit: Andrea Raffin / Shutterstock.

Gomez's current legal response rejects the lawsuit's characterization of her conduct. Rosengart is not merely disputing the allegations publicly; he says her legal team is moving to have the claims against her dismissed.

"The allegations that Selena Gomez engaged in any way whatsoever in any purported 'fraud' or other wrongdoing are completely meritless, both factually and legally," Rosengart told PEOPLE. "We will vigorously defend these false allegations and indeed are filing a motion to dismiss the baseless claims against her."

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When Wondermind encountered financial problems in 2025, a source told PEOPLE that Gomez was not involved in day-to-day operations but had invested millions of dollars in the company over the years. The source said Gomez put additional money into Wondermind after learning about a more recent financial setback.

Reuters says investors were told she would actively build the company as head of marketing, while Forbes reported in 2025 that Wondermind's website listed her as Chief Innovation Officer.

The Investors Say They Put in Nearly $1.2 Million

The plaintiffs are two investment vehicles representing five investors who say they put nearly $1.2 million into Wondermind in 2022. They allege that their decision was based on representations that the company had the leadership, infrastructure and resources needed to develop into a profitable mental-health and wellness platform.

Among the claims detailed by Forbes are allegations that investors were told Gomez would be "intimately involved," that Wondermind had significant business partnerships and advertising opportunities and that its leadership was capable of carrying out its plans.

The complaint alleges those representations proved false. It also says the investors eventually sought to rescind their investments after learning more about the company's problems. They are seeking the return of their money along with damages and attorneys' fees.

The Lawsuit Includes Separate Allegations Against Teefey and Pierson

Forbes reports that Gomez, Teefey, Pierson and Wondermind are accused of securities fraud over alleged misrepresentations involving the company's finances, leadership and business prospects. The plaintiffs also bring a fraudulent-inducement claim against the defendants, while Wondermind faces a breach-of-contract claim.

Pierson is separately accused in additional claims involving alleged statements about Wondermind's growth and alleged misuse of investor funds.  Pierson has rejected the accusations. PEOPLE reports that in a statement to The New York Times, she "categorically" denied the allegations against her.

Teefey had not publicly commented on the lawsuit as of PEOPLE's Aug. 15 report. Forbes also reported that the company missed employee payments and later laid off most of its workforce. At the time, Wondermind characterized its difficulties as "growing pains," while a company spokesperson disputed an employee's characterization of Gomez's level of involvement.

"We will vigorously defend these false allegations," he told PEOPLE, adding that her legal team is filing a motion seeking dismissal of the claims against her. The lawsuit was filed in federal court in Delaware on Aug. 13.

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Source: “AOL Entertainment”