I ran a session a while back in which the players were fighting a griffon boss. The griffon had KO'd 6 of the 7 pcs, when the last PC finished off the monster. The PC helped up everyone and all was dandy.
This doesn't seem appropriate for players to be able to get up and rest without any consequence, as if nothing had happened. This goes especially as 6 of 7 players were KO'd. The only way that the players wouldn't be able to simply "rest off" damage is if there was a TPK.
How do I apply consequences of more moderate severity which affect players in the the long term, without resorting to harsh extremes such as killing off the character(s)?