§ 45. Price when the agreement is silent

If you have made a purchase without agreeing on a price, you must pay the "prevailing price" (gjengs pris), meaning the normal price level at the time of the agreement for similar goods. If there is no prevailing price, the price must be reasonable based on the nature and quality of the goods. Unreasonable prices are not binding.

The Sale of Goods Act (Kjøpsloven)·LOV-1988-05-13-27

Machine-translated from Norwegian. The Norwegian text is the one that applies. Read the original in Norwegian.Norsk English العربية Polski Українська

The text of the law (unofficial translation)

If a purchase has been made without the price following from the agreement, the buyer (kjøper) shall pay the prevailing price at the time of the agreement for the same kind of goods sold under similar circumstances, insofar as the price is not unreasonable. If there is no such prevailing price, the buyer must pay what is reasonable having regard to the nature and quality of the goods and the circumstances otherwise.

Source: Lovdata — Kjøpsloven (the Sale of Goods Act) § 45

What does this mean?

It is surprisingly common to buy and sell without agreeing on an exact price, especially between companies with an ongoing customer relationship, or when ordering specialised work. The law answers what happens then.

Two rules:

Unreasonable prices are not binding: Even if there is a "prevailing price", it is not binding if it is unreasonable. The assessment takes the buyer and the context into account.

Examples

Kari runs a small catering business and buys charcoal from the same supplier every month. This time they forget to mention the price. The supplier delivers as usual and invoices NOK 280 per bag, the market price. Under § 45, Kari pays the "prevailing price". NOK 280 is the normal price, and Kari cannot insist on a lower price she herself wanted. Had the supplier suddenly invoiced NOK 500 per bag, which would be far above the market, Kari could have relied on the rule on unreasonable prices.

Marius orders a custom-made bench from a carpenter. They do not agree on a price, and Marius assumes it will be fine. When the bench is finished, the carpenter invoices NOK 35,000. There is no "prevailing price" for unique benches. Under § 45, the price must be "reasonable" based on the work: materials, time spent, quality. If the carpenter has spent 60 hours and used high-quality materials, NOK 35,000 may be reasonable. If it was 20 hours and standard materials, it may be unreasonable.

Common mistakes

  1. Forgetting to agree on a price and being surprised by the invoice (faktura)
  2. Thinking the "prevailing price" is always the lowest; it is the normal price, not the cheapest
  3. As a buyer: demanding a lower price without legal basis
  4. As a seller (selger): trying to charge an unreasonably high price because no price was agreed

What should you do?

As a buyer:

As a seller:

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