Reasoned administrative refusal requires intelligible grounds; bare statutory language cannot satisfy the duty to hear and explain.

Refusal of registration of a registered user was unsustainable because the authority gave no intelligible reasons and merely repeated statutory language. Where the governing statute requires a hearing before an adverse administrative decision, the decision-maker must disclose the factual basis for refusal so the affected party can make an effective representation and judicial review is possible. A bare statement that registration would not be in the public interest or aid indigenous industry did not satisfy the duty to give reasons. The refusal orders were set aside and the matter was remitted for reconsideration after disclosure of grounds and a further hearing.

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Issues: Whether refusal of registration of a registered user without disclosure of reasons satisfied the requirement of a reasoned decision and fair hearing under the governing statute.

Analysis: The statutory scheme under Section 49(3) of the Trade and Merchandise Marks Act, 1958 required the applicant to be heard before refusal, and the administrative decision had to be supported by intelligible reasons. A bare recital that registration would not be in the public interest or would not aid indigenous industry merely repeated the language of the statute and did not disclose the factual basis of the decision. Such unexplained orders frustrate effective representation by the affected party and impede judicial review because the basis of the decision remains undisclosed.

Conclusion: The refusal orders were held unsustainable for want of reasons, and the matter was directed to be reconsidered after disclosure of grounds and affording a further hearing.

Ratio Decidendi: Where a statute requires a hearing before an adverse administrative decision, the authority must communicate intelligible reasons based on facts and circumstances, and a mere reproduction of statutory language is not a sufficient compliance with the duty to give reasons.

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