I had a similar problem. image just hung in a particular frame some times while watching a divx movie. This happened with all players except the one included with divx5, but then again with this last one, sound was some times ‘crackling’.
So, the hanged image problem turned out to be the ‘smooth playback’ option set in the DIVX playback configuration panel. Once unchecked, it all works OK. (To uncheck it I had to use another player : bsplay which lets you access the codec playback configuration,… not sure houw you can do the same from within microdvd)
For the crackilng problem, Still not fully determined, but seems like reencoding audio with virtualdub and unchecking the ‘quality encoding’ option solves the problem.