Thought I’d also chime in on this old thread. First to thank KL Tan as that led me to my solution.
In my case it was a little different. The problem item was a line that originally was defined in Illustrator as 0 height, with a 1 pt stroke. I copied it from illustrator to InDesign, which drew it as a rectangle (1 point high) that had no stroke. I could not make the rectangle 1/2 point tall without getting this error.
Somehow, the “0 height” line still existed within that rectangle. It wasn’t grouped with it, I couldn’t click and draw to select it. But if I pressed ctrl+A, it appeared in the center of the 1 point high rectangle. Also weird, transform controls showed that the rectangle had a height, but where you’d normally see “0 pt” for an object with no stroke, the field was blank. I could type “0 pt” in there and it would appear to work, but then when I clicked off the line and clicked it again, it would again be blank.
Anyway… I fixed it by using the “Swap stroke and fill” arrow below all my tools, which temporarily gave it a fat stroke, and then clicking it again. After the second click it worked like a normal box, with a height and 0pt stroke. I could resize without the error.
Hope that helps someone else. Weird bug.