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In this video, the host discusses a legal issue where a client was sued for $70,000 due to a copyrighted image placed on their website by a designer. The client subsequently sued the designer, creating a complicated situation. The host emphasizes the importance of being proactive to avoid similar legal nightmares. While not providing legal advice, they encourage viewers to consult with an attorney regarding contracts. The video includes a contract template that the host uses for web design projects, designed to serve as a solid foundation that can be customized with additional details or legalities.