Bank of America Freezes Foreclosure Cases to Review Documents

Bank of America Corp., the biggest U.S. bank by assets and deposits, delayed foreclosures after a federal regulator called for a review because lenders may have submitted defective documents when repossessing homes.

Bank of America will investigate all affidavits in cases that have not yet gone to judgment in 23 states where courts have jurisdiction over home seizures, Dan Frahm, a spokesman for the bank, said yesterday. He estimated “tens of thousands” of documents will be studied and the process will take from “several days to a couple of weeks.”