LMAO Toughy! Sounds like a University of Tennessee women's basketball game.
I actually do say "lady" for example when I don't know someone's name...ie "the nice lady who helped my aunt".
or the "nice check out lady".
It is a Southern thing, but I probably do need to reconsider its use.
It KILLS me when I go out to eat with obvious Dykes and we get called "ladies"...especially when the wait-person is also obviously a Lesbian. lmaorof.