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Yay for a sane court ruling (http://www.reuters.com/article/idUSTRE5BT3HJ20091230); boo to a stupid controlling jerk trying to make money off a company through a frivolous lawsuit.
I would have been happier if the judge had ruled that the jerk had to pay all court costs, but at least the court recognized that people are responsible for their own actions, for the products they buy, how they use said products, and the consequences thereof.
iPod has done their duty by supplying a written warning - and if people choose to ignore that warning, let them suffer the consequences. We all know that exposure to loud noises damages hearing and parents are responsible for making sure their children are protected, not the government, not businesses. After all, buying an iPod is a choice not a legal requirement.
When the law says we must all buy and use an iPod, then the government can issue laws regulating volumes and usage and so on. Until then, it truly is "buyer be responsible for your use of stuff you buy".