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Suppose that a mimic has grappled character A, and character B is standing ten feet away (within reach) shooting it with a bow. Can the mimic make opportunity attacks on character B? Can the mimic make normal attacks against character B?
Initially I thought this was a duplicate of the linked question about mimic adhesive, but that question is Pathfinder and this is 3.5e.
The mimic cannot make opportunity attacks against the archer because a grappling creature does not threaten any squares. From the SRD, under the "grappling" condition:
A grappling character can undertake only a limited number of actions. He does not threaten any squares, and loses his Dexterity bonus to AC (if any) against opponents he isn’t grappling.
The Rules Compendium clarifies that you can perform only certain maneuvers when grappling. You can attack someone who you are grappling, but cannot attack someone that you are not grappling.
