An Etymological Dictionary of the German Language/Annotated/Lage

by Friedrich Kluge

Lage, (illegible text)., ‘situation,’ from Middle High German lâge, Old High German lâga, feminine, ‘putting, arranging, situation’; from liegen. So too Modern High German Lager, neuter (properly Leger), from Middle High German lëger, Old High German lëgar, masculine, ‘camp’; compare English lair.