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In this video, Matthew explains how to create an interior design contract online using legal templates. He provides a link in the video description to access the templates. He navigates to the "Business Forms" section and demonstrates how to use the search feature to find the "interior design contract." After locating the document, he previews the PDF version and begins filling it out. He specifies that the transaction involves the sale of services, particularly interior design, and discusses entering relevant details such as the service provider's information and the customer's name.