Lady of the Lake in Avalon: rules and loyalty checks

The Lady of the lake is an optional Avalon expansion for privately checking a player's displayed loyalty. It is a token passed between players, not a character role. These rules describe play on this site.
Rules
- The first holder is the player to the right of the first leader. Checks take place before team selection for missions 3, 4 and 5, if the game reaches them; rejected teams do not create extra checks.
- Choose another player who has never held this Lady. Only the holder receives the check result: good or evil, not the exact character. Announce a result to the table, then pass the token to the checked player.
- You cannot check yourself or any previous holder, including the starting holder. The checked player becomes the next holder; this does not mean they must be trusted.
Important limits
Can you lie about the Lady's result? Yes. The private result and the holder's public claim are different things. Compare the claim with votes and mission results.
Does the Lady reveal Mordred? Mordred appears evil despite being hidden from Merlin. Trickster appears good and Troublemaker appears evil. Unlike Lady of the sea, this Lady does not name an evil role.