Does the "German" in "German chocolate cake" refer to the chocolate or the cake?
A Baker's (now owned by kraft foods) employee named Sam German developed a chocolate recipe that was sweeter than semi-sweet chocolate, as well as containing a blend of chocolate liquor, sugar, cocoa butter, flavorings, and lecithin. Baker's honored Sam by naming the chocolate that he created Baker's German's Chocolate. 

In 1957 the recipe was published in a Dallas newspaper, although nobody is sure exactly when the recipe was originally created. Generally Foods - who had bought the brand - noticed that alot of people liked the recipe and started a PR campaign for German's Chocolate using the recipe. They started sending it to newspapers all over - and people liked it. At some point the "'s" got dropped from the name, introducing all of the confusion we have about the origin of the cake today.

References:
http://en.wikipedia.org/wiki/German_chocolate_cake
http://en.wikipedia.org/wiki/Walter_Baker_%26_Company 
http://www.joyofbaking.com/GermanChocolate.html