diff --git a/src/ng/location.js b/src/ng/location.js
index c315551006ac..2d5f805119b8 100644
--- a/src/ng/location.js
+++ b/src/ng/location.js
@@ -37,10 +37,10 @@ function parseAppUrl(relativeUrl, locationObj, appBase) {
     relativeUrl = '/' + relativeUrl;
   }
   var match = urlResolve(relativeUrl, appBase);
-  locationObj.$$path = decodeURIComponent(prefixed && match.pathname.charAt(0) === '/' ?
+  locationObj.$$path = tryDecodeURIComponent(prefixed && match.pathname.charAt(0) === '/' ?
       match.pathname.substring(1) : match.pathname);
   locationObj.$$search = parseKeyValue(match.search);
-  locationObj.$$hash = decodeURIComponent(match.hash);
+  locationObj.$$hash = tryDecodeURIComponent(match.hash);
 
   // make sure path starts with '/';
   if (locationObj.$$path && locationObj.$$path.charAt(0) != '/') {
diff --git a/src/ng/urlUtils.js b/src/ng/urlUtils.js
index dfd3c5db989c..2b5b0577326f 100644
--- a/src/ng/urlUtils.js
+++ b/src/ng/urlUtils.js
@@ -68,8 +68,12 @@ function urlResolve(url, base) {
   if (msie) {
     // Normalize before parse.  Refer Implementation Notes on why this is
     // done in two steps on IE.
-    urlParsingNode.setAttribute("href", href);
-    href = urlParsingNode.href;
+    try {
+      urlParsingNode.setAttribute("href", href);
+      href = urlParsingNode.href;
+    } catch (e) {
+      href = '';
+    }
   }
 
   urlParsingNode.setAttribute('href', href);
diff --git a/test/ng/locationSpec.js b/test/ng/locationSpec.js
index 5a338729cf00..2008a7d7e966 100644
--- a/test/ng/locationSpec.js
+++ b/test/ng/locationSpec.js
@@ -459,6 +459,16 @@ describe('$location', function() {
         expect(url.hash()).toBe('x <>#');
       });
 
+
+      it('should not break on invalid URLs', function() {
+        url = new LocationHtml5Url('http://example.com/');
+        url.$$parse('http://example.com/%?filter=%%U65-*55z65>ß.2á.3á02312-3-214.32@#%7B%7D%5D%5B%%%');
+        expect(url.path()).toBe('/');
+        expect(url.search()).toEqual({'filter': undefined});
+        expect(url.hash()).toBeUndefined();
+      });
+
+
       it('should decode pluses as spaces in urls', function() {
         url = new LocationHtml5Url('http://host.com/');
         url.$$parse('http://host.com/?a+b=c+d');