For example, try make identical tex files at C:\a\b c\d.tex and C:\a\bc\d.tex. Then try run lualatex with no arguments except the filenames. The first file will compile perfectly. The second one will fail miserably, as if lualatex was trying to read the filename as a .tex document:
This is LuaHBTeX, Version 1.12.0 (TeX Live 2020/W32TeX) restricted system commands enabled. ! I can't find file `c:'. <to be read again> \def <*> "c:\a\b c\d.tex" (Press Enter to retry, or Control-Z to exit) Please type another input file name: