Edwin Coe leads investors in blockbuster action against Eclipse film investment scheme

Edwin Coe, the UK’s leading collective action litigation firm, is leading a group action on behalf of hundreds of investors seeking damages, in a £150 million legal action against various parties involved in designing and selling the Eclipse schemes for investment in major films including Barclays, Bank of Ireland, HSBC and Disney. The investors allege that the designers of the scheme and those selling it misrepresented the chances of the Eclipse film investment scheme delivering tax breaks, with the result that many now face ‘life-changing’ tax bills and possible bankruptcy. The scheme was marketed as a tax efficient vehicle for investment in future returns on film rights on studio-made films, creating a tax deferral benefit.

David Greene, Edwin Coe’s Senior Partner and Head of Litigation, said: “These investors were misled on a wholesale basis. They thought, and were advised, that they were investing into film-backed investments that had potential tax advantages. Now the whole façade presented appears to have been fictional.”

The investors are also represented by tax specialists Newport Tax Management LLP.

Further information on the action may be found here.