Can't Play a Games with Gold Title

I tried to download Red Faction 2 for the Original Xbox (To my Xbox One) on the day it was available on Games with Gold, but on the store page there was only an option to buy it, I waited a day and the option to claim it using Games with Gold was there so
I downloaded it, after installing I try to play it and I get this message.

“Do you own this game or app?” then “If you have the disc, insert it now. If you bought this online, make sure you’re signed in to Xbox Live. If you don’t have the rights for playing it, you’ll need to get it at the Microsoft Store.
(0x803f8001)”

I talked to a 'Specialist' about this and told me this was a Error that means I don't have the games licence to play it, they left the case open and said they would get back to me.

Today they replied with this. Yes including the typos

"This is an email update regarding to your request on being able to play " Red Faction " on your account and we've confirmed that you don't owned the game , the only possible reason why you
were able to play the game is either you play it through this or via gamesharing feature.. If you really want to have wyou own license of the game , just purchase it on our Microsoft store. ( not claim on free games with gold as well ) . To confirm this reset
your console to defaults and you'll see all the games you owned at my games and apps."

First of all, No I have never played or used this game using any Microsoft product/service, Xbox or PC, be it physical or digital. I have only ever been on the store to get it because of Games with Gold.

Secondly, why should I have to pay for the game if the Xbox Store screws up giving out a game licence, how it that fair?

I have had few issues with Xbox overall but this is stupidly simple to fix. Microsoft/Xbox please give me the full service that I have paid for with 'Xbox Live Gold'.

:)