Give up when carelessly praised (7)
I believe the answer is:
despair
'give up' is the definition.
(I've seen this in another clue)
'carelessly praised' is the wordplay.
'carelessly' is an anagram indicator.
'praised' is an anagram of 'DESPAIR'.
'when' acts as a link.
(Other definitions for despair that I've seen before include "Praised (anag) - lose hope" , "sort of counsel?" , "Despond" , "Complete loss of hope" , "gloom" .)