i found this wiki page on it and it solved the problem for me the game starts right up now with no crashes http://pcgamingwiki.com/wiki/Dead_Rising_2:_Off_the_Record
Audio sample rate fix
The example used in this guide is only relevant to Windows 7.
1) Open the control panel (Start > Control panel).
2) Select Hardware and Sound. Select Sound from the sub-menu.
3) Under the Playback tab, double-click on your current audio device (default device is marked with a ).
4) Navigate to the Advanced tab.
5) Under Default Format select 24 bit, 48000 Hz (Studio Quality)
6) Confirm the change by pressing OK.
Some users suggest lowering the sound quality to 16 bit, 48000Hz (DVD Quality). It doesn't cause any additional problems, so try switching to this if the above does not work.
Checking Windows Live ID Sign-in Assistant status
1) Hold the Windows Key and press R.
2) Type services.msc in the window that opened. Press OK.
3) In the new window, find the entry for Windows Live ID Sign-in Assistant
4) In the Status column, make sure the entry is marked as Started. Else, proceed to step 5.
5) Right-click the entry and select Properties.
6) Set the Startup type to Automatic and confirm by pressing OK.
7) Restart your PC.
Fixing Early Gameplay Crashes
The example used in this guide is for Steam downloads, and involves uninstalling Games for Windows Live. If you have other titles on the GFWL service, proceed with caution.
1) Follow the recommendations in the audio sample rate fix, above. If you continue to have issues, read on.
2) Reopen the control panel (Start > Control panel).
3) Select Programs and Features. Wait for the list to populate, then select and uninstall both Microsoft Games for Windows - LIVE Redistributable and Microsoft Games for Windows Marketplace.
4) Locate Steam\steamapps\common\Dead Rising 2 Off the Record\support\GFWL\Gfwlivesetup.exe
5) Right-click the entry and select Properties. Switch to the Compatibility tab.
6) Check the box marked Run this program in compatibility mode for: and select Windows XP (Service Pack 3). Also check the box marked Run this program as an administrator.
7) Press OK to accept the changes. Run Gfwlivesetup.exe by double-clicking on it, and allow GFWL to reinstall.
8) Navigate to Steam\steamapps\common\Dead Rising 2 Off the Record\support\DirectX\. Run DXSETUP.exe and allow any additional components to install.
9) Navigate back up to Steam\steamapps\common\Dead Rising 2 Off the Record\. Like steps 5 and 6, set deadrising2otr.exe to run as an administrator and in compatibility mode, but this time select Windows 7 as the mode. Press OK to accept the changes.
10) Run deadrising2otr.exe by double-clicking on it, instead of through Steam.
11) Allow Games for Windows Live to automatically update, but do not reboot; simply continue with the game as normal.
If you are able to play the game to the point of standing in a locker room, then this fix has worked.
Fixing Infinite Loading Glitch
Open %USERPROFILE%\My Documents\My Games\Dead Rising 2 Off The Record\rendersettings.ini
Change the UseMultiCore entry to false
After getting past this loading screen you are free to change rendersettings.ini so that UseMultiCore is true