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In this video, the presenter discusses a case where a client was sued for $70,000 due to a copyrighted image used by their designer on a website. This led the client to subsequently sue the designer, resulting in a complicated situation. The speaker emphasizes the importance of legal precautions to avoid similar issues and clarifies that they are not providing legal advice, urging viewers to consult an attorney regarding contracts. The video then introduces a contract template that the speaker uses for web design projects, offering a solid foundation for viewers to customize and incorporate any necessary details or legal requirements into their contracts.