I tried to process A New Hope Despecialized Edition 2.5 through Handbrake and the end result was glitchy. I though it was because the host file (mkv) was on a network drive, but I got the same problems when I moved it to my hard drive. Ill post my settings below:

Picture:

Anamorphic: Strict
Cropping: Automatic

Filters: did not change

Video:
Codec: H.264 (x264)
Framerate: Same as source :Constant
x264 preset: Very Slow
X264 tune: Film (This could be the problem)

H.264 Profile: High
H.264 Level: 4.1
Constant Quailty: 20 RF

AUDIO:
English DTS-HD on AUTO PASSTHRU

If anyone has a solution please either message me or reply down below. Thank You and May the Force Be With You.