The Third Circuit has remanded a class action against an oil and gas company to state court, giving firm direction on how the circuit will interpret and apply the Class Action Fairness Act's two exceptions to federal jurisdiction.

The trial judge in Pittsburgh had remanded the case under CAFA's "home state" exception, but the U.S. Court of Appeals for the Third Circuit ruled that the proper route to remand was through the "local controversy exception," lending clear guidance on how the circuit will treat suits under CAFA, which is still less than 10 years old.