I am putting a solution to my problem just incase it might help some one else.
I've found the reason for my problem was because I used jboss-4.0.4.CR2-installer.jar
to install my jboss.
I downloaded jboss and unzipped jboss manually. I then upgraded to jbossws-1.0.2 and
deployed my webservices.
I used my client to call the webservice and I received the reply with out any errors. I
didn?t have to make any changes to my war file.
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