I had the same issue with DVD-R converted to DVD_Video getting hung up on playback using the JVC XV S500. With some help, I did the following changes and the DVD played perfectly.
a. I converted the mpeg to DV AVI and replaced it in the timeline.
b. There was a small space in the timeline (at the beginning) which I removed.
c. I burned to new media, Verbatim Digital Movie DVD-R.
Not sure if any of this will help, but it worked for me. Good luck.
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Did you find a solution to this? I recorded a DVD-R in DVD Video format using still images and mpeg - the final output had VOB files. The DVD plays in other DVD players flawlessly, but gets hung up on the JCV XV S500 (during the mpeg). Any ideas how to fix this?
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