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In this tutorial, Mark explains how to write a service contract, which formally identifies an agreement between the service provider and the recipient. Service contracts apply to various scenarios, including home delivery and organizational collaborations. The contract outlines the service provider's obligations, such as installation or implementation, under a set of standard rules and regulations. It also ensures protection for the provider against unforeseen issues that may affect service delivery, such as vehicle breakdowns, allowing them to address problems without liability impacting their performance. The contract serves both as a commitment to provide services and a safeguard against potential risks.