I agree with Norm, its as though the spring gets caught or bottoms out on the bottom of the housing then doesnt clear the top of the pulley and grabs it.
I use silicone spray in all pull starters as WD40 is generally a poor lubricant, and oil will attract dirt (I do use in briggs starter clutches). WD40 silicone is very good, I had problems with Permatex silicone for some reason though