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You didn't really wimp out, you just played it safe. If button is solid TAG, you have to figure he either already has, or is drawing to, the nuts.
Two ways to look at this:
On one hand, you were only invested $40 and it would've meant risking your whole $400 on the flop or turn to pursue. Aside from folding, your options were essentially a) smooth call the $120 with the intention of moving all in if a non-club came on the turn. b) Pushing all in on the flop to try to take it down there or fade some outs if he's only drawing to a higher flush.
On the other hand, I understand you were BB, but what are you hoping to flop with 6/8c? You're looking to make a straight or a flush and bust a big hand.
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