It looks like the bottom of the "L" took a hit. Post Strike Damage "PSD' aka "PMD". Definition: A cud is a die break that involves the rim and at least a little bit of the adjacent field or design. http://cuds-on-coins.com/cuds/
A "cud" is a die break that occurs on the rim of a coin where the piece of the die falls away creating a coin that looks like someone stuck a cud of chewing gum on it. Yours appears to be a die chip or PMD.