Not overdone? That's fine! (4)
I believe the answer is:
rare
'that's fine' is the definition.
(I've seen this in another clue)
I cannot understand how the remainder of the clue works.
Can you help me to learn more?
(Other definitions for rare that I've seen before include "Unusual(ly fine)" , "having few matches?" , "not often spotted" , "Exceptionable" , "Excellent; uncommon" .)