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Scotty from Ogden Built discusses the importance of construction contracts for contractors in the industry. He emphasizes the necessity of having agreements in place to avoid misunderstandings, particularly regarding additional costs at the end of a project. Scotty shares his experience of writing contracts, driven by a builder's desire for transparency in included costs. Initially hesitant, he found that being detailed in outlining steps and including every aspect in the agreement led to satisfaction for both the owner and himself, ensuring he was compensated for all work performed. The video serves as a guide on what to include in contracts for better project management.