CFII STUDENT AND INSTRUCTOR ABOARD PA28 HAVE TRACK DEV WHILE PRACTICING PARTIAL PANEL WORK IN IMC.

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WE WERE ON AN IFR TRAINING FLT FOR THE CFII. I WAS THE CFII STUDENT AND PF. MY INSTRUCTOR WAS IN THE L SEAT. WE WERE OPERATING ON AN IFR CLRNC FROM AEL TO AEL WITH APCHS AT MCW AND FXY. AFTER OUR APCH AT FXY THE INSTRUCTOR COVERED THE ATTITUDE INDICATOR AND HDG INDICATOR AND WE CONTINUED PARTIAL-PANEL CLRED DIRECT TO THE AEL VOR IN IMC. ROCHESTER APCH PROVIDED US VECTORS FOR THE VOR 34 APCH INTO AEL. WHILE ON VECTORS I EXPERIENCED VERTIGO AND LOST TRACK OF HDG. AFTER ABOUT 2 MINS THE VERTIGO PASSED AND I WAS ABLE TO FLY WINGS LEVEL USING THE TURN COORDINATOR. BY THIS TIME WE WERE OFF OUR ASSIGNED HDG AND I WAS STILL SLIGHTLY DISORIENTED AND HAVING DIFFICULTY DETERMINING OUR HDG. APCH NOTICED OUR HDG DEV AND ASSIGNED US A NEW HDG TO INTERCEPT THE FINAL APCH COURSE. I WAS ABLE TO FLY THE ASSIGNED HDG AND COMPLETE THE APCH. THE COMBINATION OF PARTIAL-PANEL WORK AND SPATIAL DISORIENTATION CAUSED US TO VIOLATE OUR CLRNC WHEN BOTH PLTS LOST TRACK OF OUR HDG DUE TO THE HDG INDICATOR BEING COVERED FOR TRAINING. IT IS A VALUABLE EXPERIENCE TO ACTUALLY FLY PARTIAL-PANEL IN IMC; HOWEVER; WE SHOULD HAVE ALERTED ATC TO OUR INTENTIONS AND REQUESTED A BLOCK OF AIRSPACE OR AT LEAST OBTAINED CLRNC FOR POTENTIAL HDG DEVS. IN A REAL PARTIAL-PANEL SIT WE WOULD HAVE IMMEDIATELY CONTACTED ATC TO ADVISE THE LOSS OF CAPABILITY AND SHOULD HAVE DONE SO UNDER THIS TRAINING SCENARIO ALSO. HUMAN FACTORS INCLUDE OUR NOT PROPERLY BRIEFING THE SCENARIO BEFORE THE FLT TO INCLUDE TOLERANCES OUTSIDE OF WHICH WE WOULD DISCONTINUE PARTIAL-PANEL. I KNEW IT WAS BECOMING A BAD SIT AND SHOULD HAVE ALERTED ATC MYSELF OR DISCONTINUED THE TRAINING SCENARIO WHEN IT WAS CLR WE WERE GOING TO VIOLATE OUR CLRNC. I HAD ANNOUNCED THE VERTIGO TO MY INSTRUCTOR WHEN IT OCCURRED BUT WAS SO OCCUPIED MAINTAINING CTL I COULD NOT FULLY COMMUNICATE THE POTENTIAL FOR VIOLATING OUR CLRNC ALTHOUGH I WAS AWARE OF IT. I ASSUMED MY INSTRUCTOR WAS AWARE OF OUR HDG BUT HE APPARENTLY HAD LOST TRACK OF IT AS WELL.