Rabid hounds bay (6)
I believe the answer is:
hudson
'bay' is the definition.
(I've seen this before)
'rabid hounds' is the wordplay.
'rabid' indicates an anagram.
'hounds' anagrammed gives 'HUDSON'.
(Other definitions for hudson that I've seen before include "American banker" , "ROCK] a > banker" , "River in New York city" , "Large bay in Canada" , "Rock --, US actor" .)