This problem with VLC pause is the reason why I didn't use it for captures.
Else it is really good.

For the region-change, after the 5 changes the drive is locked on the last selected region.
It is strange that VLC can play it, as this region selection is done by the drive and not by a software.
Some drives can be modified (new firmware installed in the chip of the drive) to play any region DVD. Maybe that there is one available for your drive.