They are effectively saying "hand over either your coins or your KYC documents against your will". They had the choice to give customers a warning and a grace period, and they chose not to do that so they could deprive some users of their coins and keep these coins for themselves. Even if customers did complete the KYC, they are still being forced to hand over something against their will. Call it theft by extortion, if you will, but either way they are taking something from the customer against their will.
You can find a people that WILLING to do the KYC for your account then just pay him for his service.
I'd only do this if you would be happy to forfeit the coins. If the exchange discover this is what you are doing, the account will be locked immediately.
I would contact support demanding that they withdraw your funds.
There is probably very little legal recourse here, but they might be willing to let you withdraw your funds in exchange for not giving them a bad rep on social media.