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A photo booth contract is a legal document that governs the rental of portable photo booths, which are popular for events like weddings and parties. These booths capture images in a confined space and produce instant photos, maintaining their appeal despite the prevalence of smartphones. It's essential for photo booth operators to use contracts for every rental, ensuring clear agreements with clients. The tutorial is provided by e-forms, a comprehensive document database, and it includes a link to a customizable photo booth template at the end of the video.