A verb to describe the action of somebody or something that is acting in a manor that would cause somebody to think that they are mentally handicapped.
When Iryna fell on the floor and started laughing uncontrollably for absolutely no reason, Ryan and Matt mutually agreed that she was derping out.
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When you make a really stupid mistake, or when you fall flat on your face.
Billy was derping out when he thought his lunchbox was his textbook.
John derped out after getting dizzy.
Matt's derping out!
Bob derped out!