If I were to balance it personally, I would say the combo continues so the scaling would continue where it was, however the combo might not work due to just the position as the situation doesn't reset back to before the clash starts.
Example: You are in the middle of an air juggle when the Clash occurs, well if you win the trade, you would resume with the last attack you used however the opponent would be on the ground. Depending on the move, the combo might still end there since juggle properties on moves are different in a lot of fighting games when an opponent is hit in the air as opposed to when they are hit on the ground.
This opens up strategic thinking such as if you know the combo your opponent is going to do, this will allow you to end a combo no matter what by simply spending 1 meter. If the opponent doesn't know the weaknesses of their own combos, they might waste a meter to continue the combo and only get that 1 hit follow-up.
Personally I don't see why anybody would be for the current Clash as we know of it. It ends a combo for no meter cost, however if the person being broken wins they get a fixed amount of extra damage. If the person who starts the Clash wins, they heal a fixed amount. If they wager the same amount of meter they are both at a neutral position... I don't get how this is superior when it comes down to strategy? All it looks like to me is meter management luck.
If you think of the ramifications of this, simply look at how MK9 evolved. Nobody uses X-Rays in MK9 unless it's to kill basically. If you use X-Rays in any other situation, you're probably risking a lot and it's more times than not a mistake/bad play. You simply save up meter to be able to break and extra meter is there to burn on dealing damage or zone. You don't burn meter every opportunity you get.
With a system like Clash in IGAU, it punishes you further for spending meter to deal damage because if you spend meter and have less than the opponent, they can just Clash and heal themselves. Tell me why this is a good system.