Default Problem with KNOX.

Hi, I had a screen issue today and got to a Samsung repair center after flashing stock rom and reseting the counter.
The Service center denied fixing my phone because I had KNOX Warranty Void 0x1.
Is there anything that can be done?
I've heard KNOX alone isn't supposed to give you warranty issues but that's not the case here.
Any user that Samsung fixed their phone with KNOX Warranty Void 0x1?
Could you share your experience?

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Devices:Nokia 3310-->Nokia 5210-->Nokia 3410-->Motorola V535-->Sony K750i-->Sony W660i-->Nokia 5320-->Sony W595i-->Samsung Galaxy S-->Huawei Ideos X5-->Nokia X2-->Sony Spiro-->Sony Live With Walkman-->Vodafone Joy(Huawei 845)-->Sony Xperia PLAY-->Sony Z550i(temp)-->Samsung Galaxy SIII(Awesome phone!)-->Samsung Galaxy S4