Which of the following is a power granted to company members regarding service contracts?

The correct answer highlights an essential aspect of corporate governance related to the authority of company members over significant contractual obligations. In many jurisdictions, members (or shareholders) of a company hold the power to approve significant contracts, especially those that extend over a longer timeframe, such as two years or more. This requirement is rooted in the need for accountability and oversight in decisions that can impact the financial health and operational direction of the company.

When members approve contracts lasting two years or more, they are effectively overseeing and controlling major commitments that the company is entering into. This power helps ensure that the interests of the members are represented in agreements that could have long-term implications. The rationale behind this is that longer contracts could involve substantial financial investments, risks, and business relationships that require careful consideration by those who have a stake in the company.

In contrast, shorter contracts or individual negotiations typically do not require the same level of member oversight, as they are usually seen as less impactful on the company's overall strategy and finances. Therefore, the focus of corporate governance usually highlights longer-term agreements for member approval.