Which exact version of JBoss AS7 is this? And how are you deploying the datasource?
It's 7.1.0 Final.
In terms of the datasource, we didn't use JBoss. We have our own jdbc drive and they are in the lib directory under EAR root leve.
|_ jdbc driver (sql server)
Can you try this against 7.1.1.Final or the latest nightly build https://community.jboss.org/thread/167590. If it's still an issue there, then please attach a sample application which reproduces this. I tried this against 7.1.0.Final and couldn't reproduce it.
After I tried with 7.1.1 the error no longer exists however still unable to reload properly. still need to dig deeper in the log