diff --git a/mercurial/hg.py b/mercurial/hg.py
--- a/mercurial/hg.py
+++ b/mercurial/hg.py
@@ -115,7 +115,7 @@ def peer(uiorrepo, opts, path, create=Fa
 
 def defaultdest(source):
     '''return default destination of clone if none is given'''
-    return os.path.basename(os.path.normpath(source))
+    return os.path.basename(os.path.normpath(util.url(source).path))
 
 def share(ui, source, dest=None, update=True):
     '''create a shared repository'''
diff --git a/tests/test-ssh.t b/tests/test-ssh.t
--- a/tests/test-ssh.t
+++ b/tests/test-ssh.t
@@ -284,6 +284,13 @@ Test remote paths with spaces (issue2983
   $ hg id --ssh "python \"$TESTDIR/dummyssh\"" "ssh://user@dummy/a repo"
   73649e48688a
 
+Test (non-)escaping of remote paths with spaces when cloning (issue3145):
+
+  $ hg clone --ssh "python \"$TESTDIR/dummyssh\"" "ssh://user@dummy/a repo"
+  destination directory: a repo
+  abort: destination 'a repo' is not empty
+  [255]
+
 Test hg-ssh using a helper script that will restore PYTHONPATH (which might
 have been cleared by a hg.exe wrapper) and invoke hg-ssh with the right
 parameters:
@@ -374,3 +381,4 @@ Test hg-ssh in read-only mode:
   Got arguments 1:user@dummy 2:hg init 'a repo'
   Got arguments 1:user@dummy 2:hg -R 'a repo' serve --stdio
   Got arguments 1:user@dummy 2:hg -R 'a repo' serve --stdio
+  Got arguments 1:user@dummy 2:hg -R 'a repo' serve --stdio