@Akabane I was going to say "he was still drunk" - but upon closer consideration I don't think he was particularly drunk to begin with. More like he was acting like a classic "lawless come to town, threatening everyone thanks to superior killing skills". And then if someone calls him on it, he either has to back down or double down. And he tried to up the ante - but we never got to see if he would have stopped one more time and asked for concessions (lick my boots, have the maid have sex with me, or whatever) or if he'd have gotten rid of his bargaining chip by killing her. (We can assume he would have, since the next page implied that he had forgotten that he was in a village as opposed to in some mercenary army camp.)
Either way, he didn't kill anyone, so killing him would have been a crime. Assuming there's someone claiming lordship over the village. Either way Blondie's law-abiding, so he didn't kill the baddie. (Bad idea? Maybe. But half of the Viking sagas begin like this - and the other half begin with things similar to if Blondie had actually struck baddie down. It all ends up as tragedies either way. Else they wouldn't be sagas