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In this video, Matthew guides viewers on creating a photo licensing agreement using legal templates. He provides a link to access these templates and suggests using the search function to find the specific photo licensing agreement. After locating it, users are instructed to select their state and indicate who owns the photos, using "Mr. Ed" as an example client. Matthew also explains that the agreement can include multiple photos, such as those from weddings or parties. Lastly, he outlines options for the type of license granted, mentioning exclusive licenses and the duration of the agreement as perpetual.