• BREAKING NEWS ABC shows live and on-demand -- Download the WATCH ABC app!

Obama to veto interstate notarization bill

October 7, 2010 12:00:00 AM PDT
ABC News has learned that President Barack Obama will not sign a bill that consumer groups said would have made it easier for banks to foreclose on homeowners. The purpose of the Interstate Recognition of Notarizations (IRON) Act is to streamline the recognition of notarizations across state lines.

The bill was written by Rep. Robert Aderholt (R-Ala.) who said in a statement that the bill "will help businesses around the nation by eliminating the confusion which arises when states refuse to acknowledge the integrity of documents notarized out-of-state. This issue continues to be a problem for businesses and individuals who engage in business across state lines."

Some opponents argued that the bill could add to the problem of unfair home foreclosures, because it would be harder for homeowners to challenge improper foreclosure attempts.

The bill had sailed through Congress, but on Thursday morning, the president "pocket vetoed" the legislation, because it could create too much potential for harm to homeowners during tough economic times.


Load Comments