A term defined and perfected by punks in New Jersey.
It's meaning is simply an arrogant and abrasive response in caps lock, but has a similarity to lawlz because of it's spelling order.
MEANING: Declaration of great amusement on the current topic, no matter how innapropriate the topic may be.
It is pronounced (Lai-Olz)
Dean : "Bro, Milly is pregnant, I don't know what to do."
Pete: "LAOLZ!!! Too bad for you, next time keep it in your pants"