Driving out or in got us confused (7)
I believe the answer is:
ousting
'driving out' is the definition.
(I've seen this before)
'in got us confused' is the wordplay.
'confused' indicates anagramming the letters.
'in'+'got'+'us'='ingotus'
'ingotus' anagrammed gives 'OUSTING'.
'or' is the link.
(Other definitions for ousting that I've seen before include "Evicting" , "Driving out" , "ejecting" , "Turfing out" .)