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In this video, Matthew explains how to create a plumbing contract using a legal template. He instructs viewers to click the link to access legaltemplates.net, then to navigate to "business forms" and use the search feature to find "plumbing contract." After selecting the contract, users will need to fill in their information as the service provider and the customer's details. Matthew highlights the importance of accurately describing the service provided and specifying the price per project. He notes that for multiple projects, viewers should detail the total cost, ensuring clarity in the contract.