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In this video, the speaker discusses a situation where a client faced a $70,000 lawsuit due to a copyrighted image placed on their website by a designer, leading the client to counter-sue the designer. To help viewers avoid similar issues, the speaker emphasizes the importance of using proper contracts in web design. They clarifies that they are not a legal expert and advise consulting an attorney regarding contracts. The video also offers a contract template that the speaker uses for web design projects, suggesting it serves as a solid foundation that can be customized with additional details to meet legal requirements.