diff --git a/bin/tests/system/inline/ns3/include.db.in b/bin/tests/system/inline/ns3/include.db.in
new file mode 100644
index 0000000000..7468708387
--- /dev/null
+++ b/bin/tests/system/inline/ns3/include.db.in
@@ -0,0 +1 @@
+f		A	10.0.0.7
diff --git a/bin/tests/system/inline/ns3/master7.db.in b/bin/tests/system/inline/ns3/master7.db.in
new file mode 100644
index 0000000000..cec8ad7efc
--- /dev/null
+++ b/bin/tests/system/inline/ns3/master7.db.in
@@ -0,0 +1,24 @@
+; Copyright (C) Internet Systems Consortium, Inc. ("ISC")
+;
+; This Source Code Form is subject to the terms of the Mozilla Public
+; License, v. 2.0. If a copy of the MPL was not distributed with this
+; file, You can obtain one at http://mozilla.org/MPL/2.0/.
+;
+; See the COPYRIGHT file distributed with this work for additional
+; information regarding copyright ownership.
+
+$TTL 300	; 5 minutes
+@			IN SOA	ns3 . (
+				2000042412 ; serial
+				20         ; refresh (20 seconds)
+				20         ; retry (20 seconds)
+				1814400    ; expire (3 weeks)
+				3600       ; minimum (1 hour)
+				)
+			NS	ns3
+ns3			A	10.53.0.3
+
+c			A	10.0.0.3
+e			A	10.0.0.5
+
+$INCLUDE include.db
diff --git a/bin/tests/system/inline/setup.sh b/bin/tests/system/inline/setup.sh
index eb7d314c2a..61bcd4ab02 100644
--- a/bin/tests/system/inline/setup.sh
+++ b/bin/tests/system/inline/setup.sh
@@ -30,6 +30,7 @@ cp ns3/master.db.in ns3/nsec3.db
 cp ns3/master.db.in ns3/externalkey.db
 cp ns3/master.db.in ns3/delayedkeys.db
 cp ns3/master.db.in ns3/removedkeys-primary.db
+cp ns3/include.db.in ns3/include.db
 
 mkdir ns3/removedkeys
 
diff --git a/bin/tests/system/inline/tests.sh b/bin/tests/system/inline/tests.sh
index 7d7df7487f..e3794d3336 100755
--- a/bin/tests/system/inline/tests.sh
+++ b/bin/tests/system/inline/tests.sh
@@ -940,17 +940,17 @@ status=`expr $status + $ret`
 
 n=`expr $n + 1`
 echo_i "check that reloading errors prevent synchronization ($n)"
-ret=0
+ret=1
 $DIG $DIGOPTS +short @10.53.0.3 master SOA > dig.out.ns3.test$n.1 || ret=1
 sleep 1
 nextpart ns3/named.run > /dev/null
-cp ns3/master5.db.in ns3/master.db
+cp ns3/master6.db.in ns3/master.db
 rndc_reload ns3 10.53.0.3
 for i in 1 2 3 4 5 6 7 8 9 10
 do
-	if nextpart ns3/named.run |
-           grep "not loaded due to errors" > /dev/null
+	if nextpart ns3/named.run | grep "not loaded due to errors" > /dev/null
         then
+		ret=0
 		break
 	fi
 	sleep 1
@@ -961,6 +961,30 @@ $DIFF dig.out.ns3.test$n.1  dig.out.ns3.test$n.2 > /dev/null || ret=1
 if [ $ret != 0 ]; then echo_i "failed"; fi
 status=`expr $status + $ret`
 
+n=`expr $n + 1`
+echo_i "check inline-signing with an include file ($n)"
+ret=0
+$DIG $DIGOPTS +short @10.53.0.3 master SOA > dig.out.ns3.test$n.1 || ret=1
+if [ $ret != 0 ]; then echo_i "failed"; fi
+status=`expr $status + $ret`
+sleep 1
+nextpart ns3/named.run > /dev/null
+cp ns3/master7.db.in ns3/master.db
+rndc_reload ns3 10.53.0.3
+_includefile_loaded() {
+	$DIG $DIGOPTS @10.53.0.3 f.master A > dig.out.ns3.test$n
+	grep "status: NOERROR" dig.out.ns3.test$n > /dev/null || return 1
+	grep "ANSWER: 2," dig.out.ns3.test$n > /dev/null || return 1
+	grep "10\.0\.0\.7" dig.out.ns3.test$n > /dev/null || return 1
+	return 0
+}
+retry_quiet 10 _includefile_loaded
+# Sanity check: the SOA record should be changed
+$DIG $DIGOPTS +short @10.53.0.3 master SOA > dig.out.ns3.test$n.2 || ret=1
+$DIFF dig.out.ns3.test$n.1  dig.out.ns3.test$n.2 > /dev/null && ret=1
+if [ $ret != 0 ]; then echo_i "failed"; fi
+status=`expr $status + $ret`
+
 n=`expr $n + 1`
 echo_i "test add/del zone combinations ($n)"
 ret=0
diff --git a/doc/arm/reference.rst b/doc/arm/reference.rst
index e51f320df4..edd2d7337f 100644
--- a/doc/arm/reference.rst
+++ b/doc/arm/reference.rst
@@ -6294,9 +6294,10 @@ The ``$INCLUDE`` Directive
 Syntax: ``$INCLUDE`` filename [origin] [comment]
 
 This reads and processes the file ``filename`` as if it were included in the
-file at this point. If ``origin`` is specified, the file is processed
-with ``$ORIGIN`` set to that value; otherwise, the current ``$ORIGIN`` is
-used.
+file at this point. The ``filename`` can be an absolute path, or a relative
+path. In the latter case it is read from ``named``'s working directory. If
+``origin`` is specified, the file is processed with ``$ORIGIN`` set to that
+value; otherwise, the current ``$ORIGIN`` is used.
 
 The origin and the current domain name revert to the values they had
 prior to the ``$INCLUDE`` once the file has been read.