ABSTRACT

Under Norwegian law the right of retention of possession is normally a legal right arising out of statute or custom. The right of retention may also be established by contract between the owner and creditor although such agreements are rare as they are not practical under Norwegian law. In respect of the retention of title clause the following arguments are often proffered in support of such a right under Norwegian law: first, this imposes on both parties a pressure to perform the contract since the debtor does not receive the counter-performance without completing his own performance; second, retention of title provides the parties with security in their own performance because the goods need not be delivered until the counter-performance (payment of the price) is simultaneously fulfilled. It is therefore in the case of delay in payment that retention of title appl ies in Norwegian law and an analogy is drawn with the possessory lien. Thus a right of retention must be limited in terms of its scope and the Norwegian Sale of Goods Ad provides that the retention can "secure" satisfaction of the claim. Where there has been delivery the right of detention is lost. In order for the seller in such a situation to be able recover the goods, he must have made a reservation to that effect, but in such a case he is not exercising his right of retention but rather recovery of the object is made pursuant to other rules, notably, distraint or sales lien.