In mozilla we currently don't allow relative URIs in the href at all. If the uri is relative it is ignored. This is per HTML4, and I think it would be ok for HTML5 to say the same.

Alternatively it could say that it should be relative to the URI used to retrieve the <base> element. In most cases the URI of the document.

Note that the current text isn't implementable since it says that relative uris in <base> should be resolved against the base uri document, but the <base> element modifies that base uri so there is a circular dependency.

/ Jonas

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