I recently rooted my phone (original android droid) with froyo latest update.
with easyroot this app has an unroot but for some reason it doesnt seem to work. any suggestions?
Are you trying to unroot the phone because you need to return it, or are you just testing the unroot ability?
I also used this app the first time that I attempted to root my phone. It didn't look like the unroot function totally removed itself when I tried it too.
If you need to unroot it to return it, you will probably need to flash the sbf file using rsdlite. Do a search on unrooting and you will find it. I also believe that there is a stock version of 2.2 that you can flash as any other ROM that will bring you back.
This is one of the biggest problems with these root apps - you cannot take a backup of your phone in its unrooted state.
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One click root apps are very unreliable, use link 4 in my sig to unroot the right way and link 3 in my sig to root the right way.