Yea mine did the same, it does get better, and it sits properly now after sitting in my pocket for a while. A flush design like the galaxy flip cases would have been much better.
The edges start to peel in a wierd way too, but hasn't had an adverse effect on looks, its hard to explain.
I've had the case for around 3 weeks and it gets prettygrimy underneath
Edit: I love the case though, people love the red because it's a bit different to the iPhone, the 'be all and end all' of phone design to the average commoner!