§ 66. When you can lose the right to cancel or demand a replacement
You can cancel the purchase (heving) or demand a replacement (omlevering) only if you can return the goods in substantially the same condition and quantity as when you received them. But you keep the right in three cases: if the change is not your fault, if the goods were reduced through inspection, or if you sold or used them in good faith before you discovered the defect (mangel). You also keep the right if you compensate for the reduction in value.
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)
(1) The buyer (kjøper) may cancel the purchase or demand a replacement only if he returns the goods in substantially the same condition and quantity as he received them. He does not, however, lose the right to cancel or demand a replacement if a. the reason it is impossible to return the goods in substantially the same condition and quantity is the nature of the goods themselves or another circumstance that is not attributable to the buyer; b. the goods have been wholly or partly destroyed or have deteriorated as a result of an action needed to examine whether the goods have a defect; or c. the goods have been wholly or partly resold in the ordinary course of business or have been consumed or altered by the buyer in the course of intended use before he discovered or ought to have discovered the defect that is the reason for the rejection.
(2) Nor does the buyer lose the right to cancel the purchase or demand a replacement if, upon returning the goods, he compensates for the reduction in value the goods have suffered.
What does this mean?
To cancel the purchase or demand a replacement, you must be able to give the goods back. The main rule is that the goods must be in "substantially the same condition and quantity" — not perfect, but in roughly the same state.
Three situations where you keep the right even though the goods have changed (first subsection):
(a) Not your fault: The goods deteriorate by themselves or because of circumstances you cannot control. Example: flowers have wilted, food has passed its expiry date, items show natural wear.
(b) Change resulting from inspection: You had to open, assemble or test the goods — and that is what caused the damage. You are not penalised for checking the goods.
(c) Resold or used in good faith: You resold, consumed or altered the goods before you discovered or ought to have discovered the defect, and this was part of the intended use. Example: you run a shop, buy in goods and resell some of them — then you discover that the whole delivery (levering) has a defect.
Compensating for the reduction in value (second subsection): Even if none of the exceptions fit, you keep the right to cancel if you compensate for the reduction in value the goods have suffered. You return the goods + money for the value they have lost.
Examples
Tom has bought a motorcycle for NOK 95,000. After two months of normal use he discovers a serious hidden defect. The motorcycle shows natural wear for two months of use. Under § 66 (1) (a) or (c), Tom keeps the right to cancel. The wear is due to normal intended use before he discovered the defect. He can cancel — but may have to account for the benefit he has had (§ 65).
Ingrid runs a small shop and has bought 100 bags for NOK 60,000. She has sold 30 before she discovers manufacturing faults in the rest. Under § 66 (1) (c), she keeps the right to cancel the entire purchase. The 30 she has sold were sold in good faith before she discovered the fault. She can cancel the entire purchase and claim the full purchase price (kjøpesum) back (possibly adjusted for what she has earned from the 30).
Eva buys a furniture kit. To check the quality, she has to assemble several parts. It turns out there is a serious defect. She cannot take everything apart perfectly. Under § 66 (1) (b), she keeps the right to cancel. The change is due to inspection — it is not her fault that she had to put things together to see the fault.
Marius has bought an antique piece of furniture for NOK 80,000. During the time he has had it, it has become slightly worn — a reduction in value of NOK 8,000. He wants to cancel. Under § 66 (2), Marius can cancel if he pays the NOK 8,000 when returning it. He gives back the furniture + NOK 8,000; the seller (selger) refunds NOK 80,000.
Common mistakes
- Believing you lose the right to cancel as soon as the goods are slightly worn — it is more nuanced
- As a seller: refusing cancellation because the goods are not exactly as new — check whether the exceptions apply
- Forgetting that you can keep the right by paying for the reduction in value
What should you do?
When you are considering cancellation and the goods have changed:
- Ask yourself: is the change your fault?
- If yes: offer to compensate for the reduction in value
- If no: refer to the exceptions in § 66 (1)
- Document the condition of the goods at the time of cancellation
- § 34Right to repair of the defect and replacement
- § 39Cancellation of the purchase for defects
- § 64Effects of cancellation of the purchase