Nano 3rd Gen freezes and must be reset when paused

I'm a fairly new owner of a 3rd Gen Nano, which has worked well (except for the occasional hiccup). When I listen to podcasts or music, and want to stop, I just hit Pause, wrap the headphone cord around the nano, and drop it in my pocket. About 60% of the time, when I pull it back out and hit any key to wake it up, I need to do the reset move (hold switch on and off, and hold the center and menu buttons) in order to get it to wake up.
This is a refurbished model, and if this is not normal I can get is fixed for the next 60 days - is this something that people experience regularly?

So if the unit is off, pushing the MENU button alone doesn't cause the iPod to wake up starting with the Apple Logo screen (should be a quicker start than the reset start with the Apple Logo).
If you bought it from Apple as a refurb, it carries the same 1 year warranty as a new iPod. If you got it as a warranty replacement for another iPod, then it carries a 60 or 90 day (I forget which) warranty or the rest of your year warranty on the one it replaced, which ever is longer. So if it is still under warranty I would send it back if you can not wake it with just the MENU button alone.
Cheers,
Patrick

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