Bank of America Corp. stepped up efforts to curtail the cost of soured mortgages, by suing First American Corp., claiming the title insurer refused to cover more than 5,500 loans that caused $535 million of losses.

First American, the second-biggest title insurer, was supposed to protect Bank of America against defective titles on home equity loans and lines of credit, according to the suit, filed March 5 in Mecklenburg County Superior Court in Charlotte.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.