Meanings
From an old proverb, "Between two stools, one falls to the ground", which dates from 1390. This, in turn, is most likely a translation of the medieval Latin proverb labitur enitens sellis herere duabus ("he falls trying to sit on two seats").
How to pronounce "fall between two stools":
AU
To fit into neither of two categories and, hence, be neglected or fail.
To attempt two roles and fail at both, when either could have been accomplished singly.
Example Sentences
1
The government's indecisiveness in addressing the issue of immigration has led to a situation where they fall between two stools, failing to satisfy both the advocates and opponents of immigration reform.
2
The team tries to implement two different strategies for winning the game, but they fall between two stools and end up confused on the field.