Anyone have any idea what could cause this? My son showed me this but said he only grabbed the MacBook tightly as it was going to fall and caught it before hitting the floor, it's 3 months out of warranty and don't have apple care
Absolutely - cracked LCD. You have to replace the screen assembly.
Even if you were still in warranty, a broken LCD is almost never covered (unless you would have AppleCare+)
Search for Apple 12'' A1534 MacBook Retina Laptop Display Assembly - Silver