Yes, lay is a Scrabble word!

Verb

1. Put into a certain place or abstract location

2. Put in a horizontal position

3. Prepare or position for action or operation

4. Lay eggs

5. Impose as a duty, burden, or punishment

6. Be located or situated somewhere; occupy a certain position

7. Be lying, be prostrate; be in a horizontal position

8. Originate (in)

9. Be and remain in a particular state or condition

10. Tell an untruth; pretend with intent to deceive

11. Have a place in relation to something else

12. Assume a reclining position

Adjective

1. Characteristic of those who are not members of the clergy

2. Not of or from a profession

Noun

1. A narrative song with a recurrent refrain

2. A narrative poem of popular origin