LAXMI DEVI vs MOHAMMAD TABBAR

The Supreme Court upheld the High Court's decision to adjust the compensation awarded under Section 163-A of the Motor Vehicles Act, 1988, by increasing the notional income from Rs.15,000 to Rs.36,000 per annum, reflecting current economic conditions. The Court affirmed the High Court's reduction of the multiplier from 16 to 12, citing the precedent in T.N. State Transport Corporation Ltd. v. Rajapriya [(2005) 6 SCC 236]. The total compensation was thus recalculated to Rs.2,88,000, inclusive of additional claims for funeral expenses and loss of consortium.