What does "course of dealing" refer to in the context of the UCC?

In the context of the Uniform Commercial Code (UCC), "course of dealing" refers specifically to the previous conduct between parties that establishes a basis for interpreting their current agreement or relationship. This concept helps to provide context for understanding how the parties have interacted previously, which can inform how a contract or agreement should be interpreted in light of their history.

For example, if two businesses routinely engage in transactions that follow a particular pattern or understanding, the terms and expectations from those past dealings can inform their current contract, even if certain details are not explicitly defined. This recognition of historical interactions is crucial in providing clarity and avoiding disputes over ambiguous terms, as it reflects the established expectations the parties may have developed over time.

The other options do not encapsulate the essence of "course of dealing." Future expectations of performance are more related to anticipatory aspects rather than past behavior. The number of transactions is irrelevant when discussing the nature of those transactions or their interpretive impact. Court rulings pertain to legal interpretations and verdicts issued by judicial bodies, and while they can influence commercial practices, they are not directly a part of the "course of dealing" concept, which is focused on the relationships between the parties themselves.