We introduce a class of locally Lipschitz continuous functions to establish stability of hybrid dynamical systems. Under certain regularity assumptions on system dynamics, we provide sufficient conditions for asymptotic stability on the candidate Lyapunov function. In contrast to the existing literature, these conditions need to be checked only on a dense set using the conventional gradient of certain functions, without the necessity of relying on Clarke's generalized gradient. We discuss the relevance of the stated assumptions with the help of some counterexamples, underlining the subtlety of the proposed relaxation. As an application of our result, we study the stability of a classical example from the reset control literature: the Clegg integrator model, with convex and nonconvex Lyapunov functions, which are almost everywhere differentiable.