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The album was produced by Baker and Malcolm Cecil and included original songs from each member of the trio. Baker fell off the roof of his Parker, Colorado, home three days prior to the start of the Seattle recording sessions; he played while dealing with the effects of a concussion and a broken rib. The album was finished in Los Angeles, in a studio next to one that was being used by Guns N' Roses. Baker liked neither the studio nor the musical style of the drummers used by Guns N' Roses. Jerry Hahn played guitar on "Sunday at the Hillcrest". Béla Fleck played banjo on three of the tracks. "Bemsha Swing" is a version of the Thelonious Monk composition. "Vino Vecchio" is a reworking of Cream's "Sweet Wine". "Au Privave" was written by Charlie Parker.
The Toronto Star noted that "it's the cranky Frisell melodics and harmonics, always on the edge but never over it, that attract". The Globe and Mail said that "Baker and Haden work wonderfully together at times ... but they can also bump along heavily, turning this esoteric set of originals and bebop classics ... into a rather hit-and-miss proposition." The Hartford Courant stated that the album "has a sparse, clear sound that effectively mixes elegance with power." The Ottawa Citizen opined that it "lacks the grace of its predecessor—substituting bombast for energy, and broad gestures for wry wit."
Stereo Review said that "the performances are trim and full of snap, thanks in no small part to the uncommon melodic lilt of Baker's rhythmic punctuations... He joins forces with Haden to lock in some irresistible grooves." The Pittsburgh Post-Gazette deemed Falling Off the Roof the seventh best jazz album of 1996; the album was also included on the Albuquerque Journal's list of the best jazz albums of the year.
