I donīt see why the ps3 games would freeze but it would be normal to get a distorted image or no color since your on SD NTSC TV and your using a PAL game. Thatīs one good thing about HD because thereīs no more NTSC*PAL problems.
Donīt know if thereīs any program that will set the output resolution for the game.
You might want to check about an RGB SD cable. Not sure if that will work with ps3 games but it did for ps2 games.. it worked for NTSC games on a PAL tv so it should work the other way around, too.
Of course if you just obtain the US version and not the EUR version you wonīt have that problem.
PS3 EU 60gb CFW DEX 4.30, PS3 EU 60gb 4.30 Rebug