I posted this in another forum. So... I hope it'll help you guys as well.
"Ive noticed the same thing. It was troubling at first, but with a little fiddling around I seemed to have found the fix or problem. The screen on in pocket sensitivity is the part that's preventing the screen to turn on while in the pocket...this also includes the edge lighting when the screen is off. So the fix is here (for me at least)...
Settings---Display---*scroll to bottom*--- Keep Screen Turned off---Uncheck
Hope that helps some of you. Made an account just for this comment since it's impossible to find the answer so far."
Everyone did everything correctly, it just seems that setting was conflicting it all for me.
Ding ding ding! That's the winner! You the man, now it works after making just that change...thanks!