The first thing I have to ask when troubleshooting something odd, (which I find so obvious, I often miss,).. have you tried turning it off and on again? On the Kobo, you have to press and hold the power button for about 8 seconds for it to power off. You'll know if it was when next time you power on, you have to wait for boot, with the little boot squares/circles.
For those trying to replicate what your seeing, how is the Kobo going to sleep.. are you pressing the power button? closing a sleep cover? or is the kobo going to sleep from being idle?
And finally, are you holding the kobo mostly horizontal? (ie, laying flat rather than held straight up?) The only reason I can think of for the screen to flip when your putting it to sleep is if it's getting tilted upside down right at the time it's going to sleep. (or the motion at the time makes the accelorometer *think* it's upside down.)
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