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In this video, Matthew demonstrates how to create an independent contractor agreement using legaltemplates.net. He begins by guiding viewers to click the link in the video description, which directs them to the website. He navigates to the "Business Forms" section and selects the "Independent Contractor Agreement" under service contracts. Matthew chooses Texas as the applicable state for the agreement. He discusses filling in client information and independent contractor details, emphasizing the importance of specifying the services provided, compensation terms, and reimbursement for expenses.