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In this video, the presenter discusses a situation where a client was sued for $70,000 due to a copyrighted image used by their designer on their website. The client then sued the designer, creating a complicated legal mess. The speaker emphasizes the importance of avoiding similar issues by using proper contracts and clarifies that they are not a lawyer and are not providing legal advice. They share a contract template used for web design projects, which serves as a solid foundation that users can modify to include any additional details or legal requirements necessary for their specific situations.