A lock assembly that has a locked state and an unlocked state. The lock assembly includes a latch assembly that has a latch and a clutch mechanism. The clutch mechanism includes a first retractor that is movable in response to movement of an interior handle assembly and selectively in response to movement of the exterior handle assembly, and a second retractor that is movable in response to movement of the interior handle assembly and the exterior handle assembly. The first retractor is always engaged with the latch assembly to move the latch between the extended position and the retracted position. The second retractor is selectively disengaged from the latch assembly and is movable relative to the first retractor when the lock assembly is in the locked state.