So after playing with the Moto X and my headset I have learned something more about this topic. On my older phones if I pressed the button on the headset, the headset would prompt "say a command" to which I would respond "phone commands". This would cause my old phones to respond in one way or another, usually just asking me what action I wanted to perform. With the Moto X I have found that when I press the headset button the headset still replies with "say a command" and I still have to reply "phone commands". Once I did this it seemed like nothing was happening until I just blurted out "OK Google Now". At that point the phone is listening to me and waiting for a google now command. This appears to be the only way the phone listens using the headset. Not a bad feature, I just wish I could hit the button and go but this works.