I had an issue where the Azure AI Foundry Agent Service failed with the following error
Run failed: {‘code’: ‘server_error’, ‘message’: ‘Sorry, something went wrong.’}

My agent was configured to use a custom MCP Server that I had built.
However, the strange thing was that it only affected one tool, but not any of the others within the MCP Server. The other tools all worked as expected.
After a lot of testing and trying different “fixes”, it turned out that the issue was that the Azure AI Foundry Agent Service does not like MCP Tools where the tool has a friendly name!

Possibly it is to do with spaces, I am not sure, but as soon as the friendly name was taken off the tool definition, the tool worked as expected!


