Replication merge agent: String or binary data would be truncated

I am trying to setup output log for a replication merge agent on SQL Server 2012 by specifying the following parameter at the end of the Run agent step

-Output C:\ReplOutput.txt

Now when I run the agent again it fails and shows below error

String or binary data would be truncated. [SQLSTATE 22001] (Error 8152). The step failed.

The agent runs when I remove that parameter but I need it for debugging in case there are errors in replication. Any assistance would be highly appreciated.