I have been meaning to figure this out for a while. Someone asked me for help extracting HOME MOVIES they had burned to DVD so they could be viewed on an iPod. This post is more for myself than anyone else as I am in a hurry:
"C:\Program Files\VideoLAN\VLC\vlc.exe" -I dummy -vvv dvdsimple://M:@1 :sout="#transcode{vcodec=mp4v, vb=768, acodec=mp4a, ab=96, channels=2, samplerate=22050, width=320, canvas-height=240}:std{access=file, mux=mp4, url= DVDOutput.mp4}" vlc:quit
You need to tweak the dvdsimple:// uri so the @# points to the right place on the DVD, depending on how it was authored.
Enjoy!
MH