Yes, it is named after the much larger Lafayette, Indiana. It also was much more important as the original county seat before that was moved to McMinnville. These days, most people bypass it when going between Newberg and Dundee to the east and to McMinnville and the Oregon Coast thanks to Oregon 18. If you do go, one of the main attractions is the closed locks on the Yamhill River just east of town off Oregon 99W. These locks allowed for river traffic to go between Dayton and McMinnville.