I had sort of noticed this before, but this really came to light in the fight with the bandits outside the entrance to the crypt. Some abilities (like slash with a longsword) and spells (burning hands) will affect overhead objects. In the battle with the bandits I had a dialog with them and then the fight started. I rushed in and tried to do a slash attack with my longsword at the two standing under the big rock held by the crane. Much to my surprise, even though the rock is like 20 feet overhead, the rock was affected as well. It dropped straight down on top of me and turned me into paste. What joy.
So I reloaded and was thinking of trying burning hands on the group. However, I noticed the rock get highlighted in the cone so decided not to tempt fate.
Slash and burning hands are supposed to be a horizontal plane, they shouldn't get anywhere near where that rock is.