All things considered, it's just stupid for knocking any character out to ever function the same as killing them.
First of all, a knocked out person should wake back up eventually. Mechanically "eventually" may as well be "at the transition to next act", so in the current act you get the affect of defeating them, but further story continues with them alive.
Ergo you should be able to knock out all 3 goblin leaders, have that count as victory and see the tieflings survive their journey unattacked, and still find Min in act 2.