Edward's out there, tied up! (8)
I believe the answer is:
tethered
'tied up' is the definition.
(I've seen this before)
'edward's out there' is the wordplay.
'edward' becomes 'ted'.
'out' indicates putting letters inside.
'ted' placed around 'there' is 'TETHERED'.
(Other definitions for tethered that I've seen before include "Restrained with a rope" , "Not free" , "Of animal, secured or hobbled" , "Fastened with rope or chain, like animal" , "on a leash" .)