If you unlock the device once, it will stay unlocked till you are holding it or keep it in your pocket. Once you keep the phone away, it will lock again; while picking it up again will require you to manually put in the passcode.
AndroidPolice stated in its report that the purpose behind the feature is to add just a little convenience and security, and avoid the data being easily stolen by potential thieves if you leave your phone sitting on a table or forget it somewhere.
If
you unlock the device once, it will stay unlocked till you are holding
it or keep it in your pocket. Once you keep the phone away, it will lock
again.
However, there is a catch here. If you hand your phone to someone
else while it is unlocked, it will not lock again as the feature isn't
equipped to recognise owner's hands or which pocket it sits in.
The feature was spotted on Nexus 4 running Android 5.0.1 OS. Although it is not a feature related to the latest Android 5.1, but would require a 5.0 OS or above that to work.
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