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Description of problem:
Unable to use overlay2 driver in docker-latest anymore in RHEL 7.3.4.

May 02 20:12:35 caiqian-jmaster.localdomain dockerd-latest[31552]: time="2017-05-02T20:12:35.902550200Z" level=info msg="libcontainerd: new containerd process, pid: 31563"
May 02 20:12:36 caiqian-jmaster.localdomain dockerd-latest[31552]: Error starting daemon: error initializing graphdriver: driver not supported

The workaround is to add EXTRA_DOCKER_STORAGE_OPTIONS="--storage-opt overlay2.override_kernel_check=true" in /etc/sysconfig/docker-latest-storage-setup

Almost certain this is also broken in RHEL7.4.

Version-Release number of selected component (if applicable):
docker-latest-1.13.1-4.el7.x86_64
kernel-3.10.0-514.16.1.el7.x86_64

How reproducible:
always

Is it regression? So it works with docker-1.12? If yes, that means we are carrying some patch in docker-1.12 which we dropped on floor for docker-1.13. Let me check.

Fixed in projectatomic/docker branches:

docker-1.13.1
docker-1.13.1-rhel

#service docker-latest status -l
active (running) since Tue 2017-05-16 17:19:18 CST; 5s ago
 ├─7792 /usr/bin/dockerd-latest *****  --storage-driver overlay2 

# rpm -q docker-latest kernel
docker-latest-1.13.1-10.git475c5d2.el7.x86_64
kernel-3.10.0-470.el7.x86_64

Since the problem described in this bug report should be
resolved in a recent advisory, it has been closed with a
resolution of ERRATA.

For information on the advisory, and where to find the updated
files, follow the link below.

If the solution does not work for you, open a new bug report.

https://access.redhat.com/errata/RHBA-2017:1330