Final answer
The answer is option 1. Miller, a licensed principal real estate broker, was sued for conversion, which means he allegedly misappropriated his client's funds.
Step-by-step explanation:
Miller, a licensed principal real estate broker, was sued for conversion. This means that Miller allegedly misappropriated his client's funds. Conversion refers to the wrongful taking or using of another person's property without their permission or legal right. In this case, Miller is accused of using his client's funds for his own purposes without authorization.
Conversion can occur in various forms, such as failing to reconcile the clients' trust account in a timely manner, commingling the client's trust account funds with his own, or failing to maintain a positive balance in the clients' trust account. These actions are all examples of misappropriating the client's funds and can lead to legal repercussions.
Learn more about conversion