(1.) The Singer Company, the 1st petitioner, is a company incorporated under the laws of United States of America. It manufactures and deals in sewing machines. The Singer Sewing Machine Company, the 2nd petitioner, is a company incorporated under the laws of the United States of America. It also manufactures and deals in sewing machines. It carries on business in India. It is a wholly owned subsidiary of the 1st petitioner.
(2.) The 1st petitioner is the owner of several trade marks in India, whereof the principal feature is the word "Singer". These trade marks were registered by the 1st petitioner under the provisions of the Trade Marks Act, 1940. Upon the enactment of the Trade and Merchandise Marks Act, 1958, the petitioners applied to the Registrar of Trade Marks under S.49(3) of the 1958 Act that the 2nd petitioners should be registered as user of an aggregate of 108 trade marks registered in the name of the 1st petitioner. On 3rd Feb. 1965 the Registrar issued a notice to the petitioners asking them to show cause why the applications should not be rejected on the ground that such registration would not be in the interests of development of Indian industry, trade and commerce. On 5th April 1965 the petitioners sent a detailed reply. Ultimately, the 2nd petitioner was duly registered as user of 95 of the trade marks for the period of 7 years ending June 1970 and 13 of the trade marks for the period of 7 years ending 4th Dec. 1971.
(3.) In 1970 the petitioners applied for variation of the condition whereunder the 2nd petitioner was registered as a user of the trade marks by extension of the periods of registration up to 14th June 1977 and 4th Dec. 1978 in respect of the 95 and 13 trade marks respectively. On 20th Jan. 1973 the petitioners received from the Registrar notices to show cause why the Central Government should not issue directions to refuse the applications for variation of the registration on the following ground: "Having regard to all the circumstances of the case registration of the Registered User is not in the interest of the general public and the development of indigenous industry in India." The petitioners sought particulars of what was meant by that ground. On 22nd Sept. 1976 and 1st Nov. 1976 the petitioners were informed that the use of the 1st petitioner's trade marks by the 2nd petitioner would have adverse effects upon the products by manufacturers of indigenous origin using indigenous trade marks. On 14th Mar.1977 the petitioners sent a detailed reply, accompanied by a note, explaining why the extension of registered user by 7 years should be granted. On 25th April 1977 the petitioners were granted a hearing by the then Deputy Secretary, Government of India. In pursuance of his queries, the petitioners intimated to the Registrar certain information on 7th May 1977 and 15th June 1977. On 5th Dec. 1978 a further hearing was given to the petitioners by the then Deputy Secretary.