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In this video tutorial, Matthew demonstrates how to create an independent contractor agreement using legaltemplates.net. He guides viewers to access the website and navigate to the business forms section, specifically under service contracts, to select the independent contractor agreement. Matthew chooses Texas as the state for the agreement and prompts users to input general client information. He explains that viewers should provide details about either the client or the independent contractor, depending on their role. Additionally, he covers how to specify the services provided, payment compensation, and expense reimbursement processes in the agreement.