Green’s Dictionary of Slang

(US gay) a boy or a girl with gay parents.

1999

Gaymart.com Queer Sl. in the Gay 90s 🌐 Laddie or Lassie – A term used to identify children with gay parents. The term began with a negative connotation assuming that the child would also be gay or lesbian. It has been reclaimed as an affectionate term and a way of children being able to ‘code’ or identify each other in public.