Passé clothing not discouraged (7)
I believe the answer is:
daunted
'discouraged' is the definition.
(to daunt is to discourage or intimidate)
'passe clothing not' is the wordplay.
'passe' becomes 'dated' (I've seen this in another clue).
'clothing' indicates putting letters inside (some letters cover up or clothe others).
'not' becomes 'un' (prefix meaning 'not').
'dated' enclosing 'un' is 'DAUNTED'.
(Other definitions for daunted that I've seen before include "Put off" , "Disheartened, being undated" , "Made discouraged, being undated" .)