Sadly the solution is to either take it back or set the cheap thing on fire.
I had the exact same problem with mine and after taking it apart I found that a straight edge on the end of a spring through a plastic pulley assembly is what the good folks down at Home Lite consider enough to withstand the torque of pulling on the pull rope. What it does is widen the hole where the straight part of the spring goes through enough so there's give and since its PLASTIC the whole pulley assembly moves up just enough so it can slip out completely and jam the pulley so the string won't retract.
I wrote AND called them explaining the problem and the fact that I KNOW this has to be a problem because after looking at this pathetic trimmers construction I couldnt figure out how it wouldnt after only a few months use. After TWO DAYS they finally wrote me back and basically told me to either take it back to the store from where I purchased it (unless I took it apart, then the warranty was void) or buy a new (and equally DEFECTIVE) pulley assembly. Now, I have no problem repairing things myself, in fact I prefer it, but when their solution to fixing a DEFECTIVE product is to replace it with the exact same DEFECTIVE product well, that's where I draw the line. This is my first Home Lite purchase and my last after the rude response I got from them concerning a defective product THEY manufactured.
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