Point the rule out when you abdicate (6)

I believe the answer is:

resign

I'm a little stuck... Click here to teach me more about this clue!

'abdicate' is the definition.
(I know this)

'point the rule out when' is the wordplay.
'point' becomes 'e' (compass point).
'the rule' becomes 'r' (legal abbreviation).
'out' indicates anagramming the letters (out can mean wrong or inaccurate).
'when' becomes 'sign' (I can't justify this - if you can you should believe this answer much more).
'e'+'r'='er'
'er' with letters rearranged gives 're'.
're'+'sign'='RESIGN'

'you' is the link.
I am not very happy about this link. It may belong to another bit of the clue.

Can you help me to learn more?

(Other definitions for resign that I've seen before include "Either leave" , "Give up position" , "Give up office" , "Give up one's job" , "Stand down" .)

I've seen this clue in the Evening Standard.

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