(LA-1) Egebjerg filed a voluntary Chapter 7 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 US trustee moved to dismiss his petition as presumptively abusive because the 401 (k) loan repayment was not a necessary expense and thus his filing failed the means test. Do you think that the court agreed that the 40l(k) loan repayment was a necessary expense and thus should be calculated in the debtor's monthly ability to pay? Why or why not?

Some of the rules below are relevant to the answer, some are not. Use the relevant terms from the rule bank below applies and define the terms you use.

Rule Bank

Liquidation Fraudulent Transfer Non-dischargeable Debt

Discharge Classes of Priority Bankruptcy Estate

Automatic Stay Reaffirmation Agreement BAPCPA