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In the video, the narrator discusses a situation where a client was sued for $70,000 over a copyrighted image used by their designer during website development. The client then sued the designer, resulting in chaos. The narrator aims to provide tips to prevent similar issues. It is emphasized that they are not a lawyer and recommend consulting an attorney regarding contracts. The main focus is on sharing a contract template used for web design projects, which serves as a foundational tool that can be customized with additional details and legalities to protect both clients and designers in the future.