Dignity of knight with zero honour, last to capitulate (8)
I believe the answer is:
noblesse
'dignity' is the definition.
(noblesse can mean dignity or noble birth)
'knight with zero honour last to capitulate' is the wordplay.
'knight' becomes 'N' (chess abbreviation).
'with' says to put letters next to each other.
'zero' becomes 'o' (O resembles 0).
'honour' becomes 'bless'.
'last to' says to take the final letters.
The last letter of 'capitulate' is 'e'.
'n'+'o'+'bless'+'e'='NOBLESSE'
'of' acts as a link.
(Other definitions for noblesse that I've seen before include "peers" , "Foreign toffs" , "Class" , "- - oblige (Fr.)" , "Privilege has its responsibilities (in French) - . . . . . . . . oblige" .)