diff --git a/src/matrix/room/timeline/entries/reply.js b/src/matrix/room/timeline/entries/reply.js
index 6039a0e092..92b573137b 100644
--- a/src/matrix/room/timeline/entries/reply.js
+++ b/src/matrix/room/timeline/entries/reply.js
@@ -37,6 +37,41 @@ function fallbackPrefix(msgtype) {
     return msgtype === "m.emote" ? "* " : "";
 }
 
+function _parsePlainBody(plainBody) {
+    // Strip any existing reply fallback and return an array of lines.
+
+    const bodyLines = plainBody.trim().split("\n");
+
+    return bodyLines
+        .map((elem, index, array) => {
+            if (index > 0 && array[index-1][0] !== '>') {
+                // stop stripping the fallback at the first line of non-fallback text
+                return elem;
+            } else if (elem[0] === '>' && elem[1] === ' ') {
+                return null;
+            } else {
+                return elem;
+            }
+        })
+        .filter((elem) => elem !== null)
+        // Join, trim, and split to remove any line breaks that were left between the
+        // fallback and the actual message body. Don't use trim() because that would
+        // also remove any other whitespace at the beginning of the message that the
+        // user added intentionally.
+        .join('\n')
+        .replace(/^\n+|\n+$/g, '')
+        .split('\n')
+}
+
+function _parseFormattedBody(formattedBody) {
+    // Strip any existing reply fallback and return a HTML string again.
+
+    // This is greedy and definitely not the most efficient way to do it.
+    // However, this function is only called when sending a reply (so: not too
+    // often) and it should make sure that all instances of <mx-reply> are gone.
+    return formattedBody.replace(/<mx-reply>[\s\S]*<\/mx-reply>/gi, '');
+}
+
 function _createReplyContent(targetId, msgtype, body, formattedBody) {
     return {
         msgtype,
@@ -48,28 +83,40 @@ function _createReplyContent(targetId, msgtype, body, formattedBody) {
                 "event_id": targetId
             }
         }
+        // TODO include user mentions
     };
 }
 
 export function createReplyContent(entry, msgtype, body, permaLink) {
-    // TODO check for absense of sender / body / msgtype / etc?
+    // NOTE We assume sender, body, and msgtype are never invalid because they
+    //      are required fields.
     const nonTextual = fallbackForNonTextualMessage(entry.content.msgtype);
     const prefix = fallbackPrefix(entry.content.msgtype);
     const sender = entry.sender;
-    const name = entry.displayName || sender;
-
-    const formattedBody = nonTextual || entry.content.formatted_body ||
-        (entry.content.body && htmlEscape(entry.content.body)) || "";
-    const formattedFallback = `<mx-reply><blockquote>In reply to ${prefix}` +
-        `<a href="https://matrix.to/#/${sender}">${name}</a><br />` +
-        `${formattedBody}</blockquote></mx-reply>`;
+    const repliedToId = entry.id;
+    // TODO collect user mentions (sender and any previous mentions)
 
+    // Generate new plain body with plain reply fallback
     const plainBody = nonTextual || entry.content.body || "";
-    const bodyLines = plainBody.split("\n");
+    const bodyLines = _parsePlainBody(plainBody);
     bodyLines[0] = `> ${prefix}<${sender}> ${bodyLines[0]}`
     const plainFallback = bodyLines.join("\n> ");
-
     const newBody = plainFallback + '\n\n' + body;
-    const newFormattedBody = formattedFallback + htmlEscape(body);
+
+    // Generate new formatted body with formatted reply fallback
+    const formattedBody = nonTextual || entry.content.formatted_body ||
+        (entry.content.body && htmlEscape(entry.content.body)) || "";
+    const cleanedFormattedBody = _parseFormattedBody(formattedBody);
+    const formattedFallback =
+        `<mx-reply>` +
+            `<blockquote>` +
+                `<a href="${permaLink}">In reply to</a>` +
+                `${prefix}<a href="https://matrix.to/#/${sender}">${sender}</a>` +
+                `<br />` +
+                `${cleanedFormattedBody}` +
+            `</blockquote>` +
+        `</mx-reply>`;
+    const newFormattedBody = formattedFallback + htmlEscape(body).replaceAll('\n', '<br/>');
+
     return _createReplyContent(entry.id, msgtype, newBody, newFormattedBody);
 }