Rob I am sorry that is totally incorrect, undefined and implementation defined have specific meanings in the standard and this instance it is implementation defined. Maybe it would be better if I add a quote.
2 A preprocessing directive of the form
# include <h-char-sequence> new-line
searches a sequence of implementation-defined places for a header identified uniquely by the specified sequence between the < and > delimiters,
....
3 A preprocessing directive of the form
# include "q-char-sequence" new-line
causes the replacement of that directive by the entire contents of the source file identified by the specified sequence between the " delimiters. The named source file is searched for in an implementation-defined manner.