how can I create faces from a mesh that has gaps? without creating overlapping faces? I am new to blender, I don't know how to describe what I am looking for. Basically, I have the following sets of edges and vertices, I am trying create a face out of the outer square, while leaving the 2 inner rectangles without a face. If I do 'f', I am getting a double face that is overlapping the square and the rectangles.
You will have to create more edges between the inner squares and outer square.For the faces to be constructed between.  This is one possible way of doing it, although not the only way and not optimal.