If you have a local branch pointed at a remote branch that's had changes, you click the Pull button and check the "Rebase instead of Merge" box. If there's conflicts on the rebase that causes git to switch to a 3-way merge, instead of stopping and waiting to reconcile, it just blows up and goes back to the Pull dialog. You can right click and choose "retry Merge" and then attempt to resolve the conflict and continue the rebase, but it causes sourcetree to crash.
This worked perfectly fine in 1.7