Basically from what I remember his contract was terminated and he was given the choice between staying on as a paid contributor for reduced pay or he had to sign a new contract with a lot of crazy parameters(for less than what he was making before). For instance if he was 5 minutes late he would have to leave the building and not get paid for his work for the day. He was writing the show for 5 days a week but Steven basically wanted him working 7 days a week to write and film skits for the show the following week. Dave wanted one Saturday off every 6 weeks so he could do a comedy show somewhere, Steven agreed but then reneged in the contract.
Other things were Steven would only allow Dave to do comedy dates if Steven was on the bill. The tour they did Steven took a 70/30 split and Steven refused to promote Dave's tour he was doing on one of their breaks and Steven wanted exclusive rights to Dave's comedy specials. It seems the breaking point was Steven was taking the bulk of the money for all this, and he and Dave got into a discussion where Steven said he wished he made as much as Dave did the past year, which really pissed off Dave because Dave was making peanuts for all the work he did on the show but couldn't do any tour dates without Steven and then the 50 million dollar offer with the Daily Wire came out and Dave was done after that.
