When you create an email and insert pictures via Wild Apricot website editor, it inserts it via so-called relative link in your email HTML code, e.g.

...img src="/Resources/Pictures/logo.gif"...

(It's called relative because it does not include your website domain)

However, if links to pictures are inserted in a different way - e.g. by manually editing HTML code, they might use 'absolute links', e.g. ...img src="www.mysite.org/Resources/Pictures/logo.gif"...

There is currently a problem with these absolute links to images - they get broken when email is sent out. We are working on it and expect it to be fixed on May 19, 2011 - for now the workaround is to replace absolute links with relative links. (This also means that pictures have to be hosted on your site, can't be linked to an external website)