Slang for a psychiatric care facility. Often thought to be taken from the HBO show The Sopranos, but earlier references exist, including usage in Season 2 Episode 2 of Twin Peaks back in 1990.
Dale Cooper: Agent Earle? But he's retired!

Albert Rosenfield: Yeah, I know. To a nice, comfortable chair complete with wrist and ankle restraints at the local laughing academy in D.C.
by BuchuBuchuMan April 14, 2011
mental institution/nuthouse/insane asylum, this was lovingly "lifted" from its use by the TV character Tony Soprano in HBO's "The Sopranos" see also "Rubber Ramada"
"Yea, my boys'll have a LOT of respect for me once they've found out I've been in the LAUGHING ACADEMY....
Hell, no!"
by BIGFOOT October 25, 2003

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