WARNING: If you are referred to as a said "lady friend", do not ever make the mistake of referring to yourself as "girlfriend" or hooking up with another guy in front of the man that considers you his "lady friend" as you will no longer be referred to as "lady friend", but instead as "slut", "hoe", "skank", etc.
2) A good female friend. This is similar to the use of "girlfriend" by other women and gay men to mean "a good female friend." A straight man can use "ladyfriend" in this manner without the social stigma of calling a mere friend his "girlfriend." This can be compared to the word "guyfriend."
3) A good female friend, with benefits.
2) Bob is going out with some of his ladyfriends for miniature golf.
3) A: Bob spent the night with his ladyfriend.
B: Oh, Bob has a girlfriend?
A: No, just a ladyfriend. *nudge nudge*
Dennis: "Dude we hung out on saturday, she my new Lady friend!"