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In this video tutorial, Matthew explains how to create a plumbing contract using legal templates. First, viewers should click the link provided to access legaltemplates.net. Once there, they can navigate to "business forms" and use the search feature to find "plumbing contract." After selecting the contract option to create a document, users will describe the transaction as a service. They must input their name and information as the service provider, followed by details about the customer. The description of services should include what was performed and specify the price per project. It's important to provide an exact number for the pricing, especially if there are multiple projects.