Not able to start a xsession with a space in the name

I can confirm this bug on Oneiric, using lxdm version 0.4.1-0ubuntu4.

Alternative example: With xubuntu installed, the file /usr/share/xsessions/xfce.desktop should start the xfce desktop but does not. A simple edit to xfce.desktop to remove the space in the name makes it work under lxdm:

$ diff -u xfce.desktop xfce-working.desktop
--- xfce.desktop 2011-09-23 13:16:11.000000000 -0700
+++ xfce-working.desktop 2011-11-15 08:37:11.617286859 -0800
@@ -1,6 +1,6 @@
 [Desktop Entry]
 Version=1.0
-Name=Xfce Session
+Name=XfceSession
 Name[ast]=Sesión de Xfce
 Name[be]=Сэанс Xfce
 Name[bn]=Xfce সেশন

Status changed to 'Confirmed' because the bug affects multiple users.

This is really rather lame and amusing. This bug is still present, found it with the same problem LXDE just crashes after you type in the right username/password, before handing over to XFCE4.

Oh for crying out loud...

I can't believe, gdm doesn't play nice with XVnc4 XDMCP, lightdm doesn't set WINDOWPATH right for sudo, lxdm can't launch Xubuntu at all, slim has security flaws - really? There are 5 or 6 different projects for something this simple, and _none_ of them are usable out of the box?

Problem still present in Precise.

Problem still present in Xenial. Upstream bug still not fixed: https://sourceforge.net/p/lxde/bugs/420/

This seems to be a bug in gconf-common. LXDM sets the DESKTOP_SESSION environment variable to the Name string from the desktop file, and /etc/X11/Xsession.d/70gconfd_path-on-session cannot handle the space due to lack of quoting.

I'm not sure if setting DESKTOP_SESSION to the Name from the .desktop file and having a space in it is wise, but everything seems to work after fixing the quoting.

I can confirm that this is still present in 16.04 All of a sudden it stopped working and now it seems like I have to reinstall everything...