The famous LM317 and related regulators (78xx) I believe underwent an infamous design revision, after they started croaking in GM Delco radios or something like that.
Turns out GM's silly designer happened to use an *exactly* marginal heatsink, while running the part at rated current. Thus, it was always teetering on the edge, until the thermal cutout took over and it cooled off, restoring operation, heating it back up, etc. etc.
According to the review, under most condiions tested, the thermal limit prevented failure because an excessive overload superheats it, keeping the thermal duty cycle low. In this application, it was heated and cooled just well enough to maximize thermal cycling amplitude and frequency, stressing it as much as possible. Unsurprisingly, it failed... The result of the review, of course, was to simply ease back the margins slightly, fixing the problem.
Tim