Does anyone know how to fix this? I have seen complaints about it as far back as 2011 and still the same issue.
I had this problem and the way I solved it was creating an ISO from the .vob files. WDTVLive handles ISO files (from VOBs) remarkable well
It is very fast (it takes me no longer than 90 seconds to create an ISO using IMGBurn
here is a guide from Afterdawn that should still show you how to do it : http://forums.afterdawn.com/thread_view.cfm/383878
Imgburn is also free