Cryptic crossword clue
State on the fringes of legality in all respects 7

The most common and most likely answer to this crossword clue is the 7 letter word UTTERLY

I've seen this crossword clue in Financial Times
U
T
T
E
R
L
Y


Buddy explains!

The straight part
We know that "in all respects" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case in all respects = utterly.
The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.
This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.

What does UTTERLY mean?

UTTERLY adverb
  1. Completely, entirely, to the fullest extent

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