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	I had the same 'Error Encountered' problem. I think it has to do with copyright issues. Might try an uncopyrighted movie, or find something to fix that issue... 
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	VidCoder has no decryption capability. Decrypt first, preferably ripping to the hard drive, then convert with VidCoder. As stated above, MakeMKV can decrypt and rip DVD's to MKV files. If its not small enough, or the wrong format, you could then use the MKV in VidCoder to re-encode and produce a smaller MKV or MP4.I had the same 'Error Encountered' problem. I think it has to do with copyright issues. Might try an uncopyrighted movie, or find something to fix that issue...
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