Windows 7: OTA + WTV from Media Center?

We recently switched from cable to an OTA broadcast antenna. Works like a charm and we use Media Center to record TV shows like a DVR. Well my wife notived that she is now unable to take her soaps and cut out the commercials because her Ulead DVD Movie Factory 6 software claims that the files are not editable. She use to convert them to the dvr_ms format but nothing seems to work.

I've tried several other programs with no luck. Has anyone else seen this? I've seen lots of complaints about cable cards, but I'm OTA. Did some update change something on me because it sure looks like my OTA shows have some kind of copy protection on them. I can watch them on any of my windows 7 systems no problem, haven't tried the older XP ones, but I'm really getting tired of the nagging and need help, lol.

If anyone has any ideas or confirmation of what the heck happen, literally overnight, I would really appreciate the sanity check.