Lay originates from the word "laicus" in Latin, which comes from Greek "laos" (people). It means a person who is not a cleric (member of the clergy).

In a more contemporary meaning, a person who's not an expert, or not familiar enough with a given subject, is a lay person to that particular subject.

We're all lay people to most subjects, and some of us even are experts in a few areas.
Thanks to whizkid for the origins.
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