I would say it leg-ut or legget may be - definitely not as in lay..
And there are good diachronic linguisic reasons for our spelling (as well as some random reasons) and in my opinion Mr Webster only confused the situation... why change plough to plow when it still is said differently to snow?
The Saucepan Man had a splendid sig that illustrated the many pronunciations of Eglish words ending in -ough (7 or 8 I think...).
Edit
Of course I am speaking as a speaker of more or less "Oxford English" .... the inhabitants of the erstwhile colonies may have a different opinion....