In a lot of the cases, these cases are settled out of court. The company decides that the court costs and negative publicity would be more expensive than just paying the person. The sad thing is, it is the other customers that end up paying through increased prices.
Here's some more.
-- A digital thermometer with the advice "Once used rectally, the thermometer should not be used orally."
-- An electric blender used for chopping and dicing that reminds users to "Never remove food or other items from the blades while the product is operating."
-- And a three-inch bag of air used for packaging that read "Do not use this product as a toy, pillow, or flotation device."
