> Do I have to use function-available instead?

yes

xsl:fallback inside an element is for the case when the processor does
not know how to process that element (because it's an extension or from
a later version of xslt) in your case the element is xsl:for-each
so saxon will ignore the fallback as it understands for-each.
The fact that it can't execute the xpath expression in the select
expression is a different issue and generates an xpath error not
something that is ever avoided by xsl:fallback.


David


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