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In this video, the presenter explains the differences between void and voidable contracts. A contract is an enforceable oral or written agreement between two parties, creating mutual obligations. It outlines the rights and duties of each party and includes specific terms and conditions. An agreement arises when one party offers something, and the other party accepts it. Essentially, an agreement is the result of an offer plus acceptance, where the offer specifies what will be provided and acceptance signifies consent to that offer. The video aims to clarify these fundamental concepts related to contracts.