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In this video tutorial, the speaker discusses a situation where a client was sued for $70,000 due to a copyrighted image used by their designer. This led the client to sue the designer, creating a complicated legal mess. To prevent similar issues, the speaker emphasizes the importance of having a solid contract in place. They clarify that they are not an attorney and cannot provide legal advice, recommending that individuals consult with a lawyer regarding contracts. The speaker then offers a contract template used for their web design projects, which serves as a useful foundation that can be customized with additional details or legal terms to help protect against such situations.