This is happening to me as well. I have a Compaq nc6320 laptop. I was
running ubuntu 7.04 and the system would suspend when the lid was closed.
I just reinstalled the system to ubuntu 7.10 over the weekend and now the
system will not suspend when the lid is closed. I can suspend by clicking
Apparently this sounds like it could be the cause of my HP Compaq nc6320
not suspending on lid close either. I posted a comment about this under
https://bugs.launchpad.net/bugs/155502
I probably should have posted here instead.
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/proc/acpi/button/lid/*/state always says open