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Asmund and Thorvald rode from the North with sixty men, halting several days at Ljarskogar. There dwelt at Reykjaholar a man named Thorgils, the son of Ari, the son of Mar, the son of Atli the Red, the son of Ulf Squint-Eye, the first settler at Reykjanes. Thorgils' mother was Thorgerd the daughter of Alf of Dalir.

Grettir came to Reykjaholar towards the beginning of the winter and asked Thorgils to let him stay the winter with him. Thorgils said he was welcome to his entertainment, like other free men; "but," he said, "we do not pay much attention to the preparation of the food." Grettir said that would not trouble him. "There is another little difficulty," Thorgils continued.

Thorsteinn sent Grettir on to Tunga to Snorri the Godi, with whom he was then at peace, and advised Grettir to ask for his protection, and if it were refused to go West to Thorgils the son of Ari in Reykjaholar, "who will surely take you in for the winter. Stay there in the Western fjords until the affair is settled." Grettir said he would follow his counsel.

They had no more strife, so far as has been told, and men thought Thorgils blessed by fortune in having been able to pacify men of such violent tempers. When the spring set in they all departed. Grettir went on to Thorskafjord. When some one asked him how he liked his entertainment at Reykjaholar he answered: "Our fare was such that I enjoyed my food very much when I could get it."

There was consequently always a crowd at Reykjaholar, and he lived in great grandeur. He was both kindly and wise. Thorgeir stayed with him in the winter and went to Strandir in the summer. After slaying Thorgils the son of Mak, Thorgeir went to Reykjaholar and told Thorgils Arason what had happened. Thorgils told him his house was open to him.