I am running 1Password 3.2.0.BETA-3 build 30649 on Snow Leopard 10.6.3 and syncing over Wi-Fi to an iPhone running 1Password 3.1.1 on top of iPhone OS 3.1.3
Sync has worked ok in the past, but today I keep getting the following message on the iPhone when I try to sync... "Cannot save changes - 1Password could not encrypt your data. Please restart 1Password and try again". I have stopped/started 1Password on the Mac, I have rebooted the Mac and I have rebooted my iPhone but all to no avail, the message keeps appearing.
My sync options are to sync all items automatically. I have tried selecting the option 'Replace all information on this iPhone' to see if it would clear the error, but no joy. Each time the message appears I acknowledge it with the 'Close' button, but it pops up numerous times during the sync operation, suggesting that it's hitting certain entries that it somehow can't handle (but I'm guessing there).