In corner sat Zachary, substitute (6)
I believe the answer is:
ersatz
'substitute' is the definition.
(I know that ersatz is a type of substitute)
'in corner sat zachary' is the wordplay.
'in' indicates a hidden word.
'ERSATZ' is hidden in the letters of 'corner sat zachary'.
(Other definitions for ersatz that I've seen before include "Inferior substitute" , "being of inferior quality" , "Spurious" , "Made in imitation - in Germany" , "Imitation, not the real thing" .)