First,

The powers in question

SOULLESS RESURRECTION: Once per friendly character, when an adjacent friendly character 150 points or less would be KO'd, you may give Layla Miller an action token. If you do, that character is not KO'd, and instead heal that character to any click and remove all action tokens from it. At the end of your next turn, even if this power is lost, KO that character.

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Dupe Creation: If Multiple Man possesses this power after taking damage, you may place a number of WXM #013 Multiple Man on their starting lines equal to the damage taken into adjacent squares. All must be placed on click #1 that follows a (orange) KO click.

The situation:
Multiple Man is next Layla Miller. A hulk charges in and hits Multiple Man for 7 Damage. Multiple Man is KO'd. Layla uses Soulless Resurrection and heals Multiple Man to Click #3 where Dupe Creation is showing.

The Question:
Would Multiple Man be able to make 7 dupes in line with the 7 damage that he took?

I think the answer is no, because he was KO'd so the dupe power wouldn't happen.

But man oh man do I ever hope I'm wrong. If I am, I am totally trying that and you get the credit for sure. That would be amazing....

EDIT: then again, it does say after he takes damage, which he did, and he isn't really KO'd, so... Now I think it would work.

Very interested to see how this turns out.

That would be cool, but it wouldn't work. He was KO'ed after the attack, so therefore, he does not still posses the power after taking the damage.

He was definitely not KO'd. Layla's power prevents the character from being KO'd. The power even clearly says "that character is not KO'd".

i'm thinking along the lines of cattmoe's edit. Soulless specifically states " that character is not KO'd,"

Oops, yep, you're right! In that case, it sounds like it should work then.

It works. In fact I was trying to build around this idea last night. Only thing to note is that the damage taken stops as soon as you hit a ko click and would be ko'd

So it works, but -in the above example- if MM hits KO on, say click 5, he can only make 5 dupes instead of 7. I think that's what you're saying?

Sort of, the numbers are just a little off. If Multiple Man was on click 5, and click 7 is his KO click, he would take 2 damage no matter how much he would have taken if not for the KO. If you clicked the dial 5 times to the right, even if the damage take would be 7 if not for the ko clicks, you have only taken 5 damage. It was ruled this way after Bag Man was dealing out 4+ damage on his last click.

Oh, so even if he hits his first KO click, he can continue to make dupes if he continues on, until he hits his last KO click. That's awesome!

Wait, no. He hits the first KO click and stops. Click #7 is KO. So max dupes possible is 6 if he is hit for 6 or more damage from click 1. On the 6th damage taken you hit KO, Layla does her thing...and suddenly: dupes.

Not to be a naysayer but does the fact that Layla HEALS the character take precedence over the damage?

Does it also work with strong guy? I mean, if he would be KOed and lyla revives him, he comes back with his bonus or not?

Yes. His trait remains active while he is not KO'd, and Layla prevents the KO from occurring.

Hmm. You may have a point there...I'm going to bring it up to the other deps and see what they think. I can see argument for it working but also not working. May have jumped the gun a little on this one, apologies. (Strong Guy definitely works, though, he just cares about damage taken)

Thanks all for the quick response(s).

I played a mult man team tonight and luckily/unluckily this did not come up.