Small crown, gold one seen in court (7)
I believe the answer is:
coronet
'small crown' is the definition.
(I've seen this before)
'gold one seen in court' is the wordplay.
'gold' becomes 'or' ('or' is the heraldic name for gold).
'seen in' indicates putting letters inside.
'court' becomes 'ct'.
'or'+'one'='orone'
'orone' placed inside 'ct' is 'CORONET'.
(Other definitions for coronet that I've seen before include "in the band" , "brass embellishment" , "Not genuine" , "Sub-lieutenant" , "Diadem" .)