So… turns out the craftsman in San Fransisco really forgot to insert the magnet needed for the sleep/wake function. I was somehow wasn’t disappointed at all, the human error actually proves that the cases are really handmade 😀
Sent a video of the defective case to the Nest (their customer service section) and was promptly given a full in-store credit so that I can customise another case to my liking. So I went ahead and followed my own recommendation in my first post, get a case with dark leather covering if you are actively using your iPad outdoors.
The magnet is located at the bottom left corner of the cover. Rest assured the sleep/wake function is running perfectly now.
P.S I’m not paid to do this, just satisfied with their customer service 🙂