Certain items (like articles of clothing) drop when you're struck.
I was holding a shirt, about to put it on.
When punched, with menu still active, I dropped the shirt.
The menu for the shirt persisted.
Stash, Wear, and Drop options seemed to have no outward visible effects when selected.
Throw put "Scrints" in a state of constantly repeating the throwing motion with nothing in hand.
Walking while throwing causes scrints to remain in the last frame of the "Throw" animation with nothing in hand.
Getting a new item from inventory caused that item to appear in Scrints' body, while maintaining the state where Scrints was in the throwing motion.
Being struck caused the item to first, immediately jump to Scrints' hands, and then second, immediately get thrown at the start of the next throw loop.