Assignment:
Egebjerg filed a voluntary Chapter bankruptcy petition in 2006. He had been employed for 27 years, earned a gross income of $6,115.56 per month, and had unsecured consumer debt of around $31,000. About two years earlier, he took a loan from his 401(k), and he paid back this loan through automatic deductions to his paycheck in the amount of $733.90 per pay period. Egebjerg listed the 401(k) loan repayment in his bankruptcy petition as a necessary expense, leaving him with just $15.31 of disposal income per month. The U.S. trustee moved to dismiss his petition as presumptively abusive because the 401(k) loan repayment was not a necessary expense; thus, his filing failed the means test. Do you think the court agreed that the 401(k) loan repayment was a necessary expense and thus should be calculated in the debtor’s monthly ability to pay? Why or why not? [ In re Egebjerg, 2009 WL 2357706 (9th Cir. 2009).]
Your answer must be, typed, double-spaced, Times New Roman font (size 12), one-inch margins on all sides, APA format and also include references.