Used to describe someone who has just failed at life. Molido, the Spanish term for ground, as in ground meat, can be mistaken by English speakers for ground, as in the ground below your feet. This mistake can then be transferred to a description of someone who failed so hard, that they belong on the ground, below the rest of society.
Jeff: Wow, I just got lemonparty'd
Darryl: Yeah, you're on the molido.