monkeymiles

Although this article talks about creating an email, it is the same when outlook receives one. http://office.microsoft.com/en-us/outlook/HA011272421033.aspx

Although the post started about replacing spaces with %20, that is not the issue here. If a URL has spaces in it when received by Outlook then it breaks the hpyerlink at the space. By adding the <> either end of the URL this stops Outlook breaking it at the spaces, unless it starts a new line.

Add < and > around the URL and outlook keeps the URL together ignoring the spaces.