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An employee equipment agreement is a legally binding document between an employer and employee regarding the use of company-owned equipment. It outlines the employer's expectations for the employee's maintenance and return of the equipment, specifying that employees must regularly maintain it beyond normal wear and tear and return it upon leaving the company. The agreement includes policies on using company equipment, particularly concerning taking it off company premises. Additionally, the video covers common office equipment covered by this agreement, emphasizing the need for clarity on permissions and responsibilities in handling and maintaining the equipment.