Kreynolds,
I can theorize two ways this could work. One is max damage of 20d6 for falling, about 70 points of damage, which is survivable by high level characters. Second, if it was 1 or 2e then a stoneskin would block all the damage from the first impact. Might still take some damage from the bounce but probably livable. Besides, I have not seen any official rule on heat entry, so it probably was not used by the DM.
Tzarevich,
I've been using that factorial falling damage for years (thanks for the reminder of the math term, I hadn't heard it used since junior high), it makes heights much scarier (let the PCs share my rl fear of heights). Nobody has fallen more than 40' before in my games so I have not had to rule on whether to use a 20d6 terminal velocity cap yet.