Dance around when beaten (5)
I believe the answer is:
caned
'beaten' is the definition.
(caning is a kind of beating)
'dance around' is the wordplay.
'around' is an anagram indicator.
'dance' is an anagram of 'CANED'.
'when' acts as a link.
(Other definitions for caned that I've seen before include "Thoroughly defeated" , "beat" , "punished" , "given stick" .)