One of eight iwi involved in the country's largest treaty claim says that missing a self-imposed deadline will cost it big money.
The Kaingaroa forest near Rotorua was in 2009 handed over to central North Island tribes including Ngati Whare, Ngati Manawa, Ngai Tuhoe and Te Arawa.
The iwi agreed on how to share the rentals in the $400 million deal but have missed the July deadline in their settlement deed to work out their shares in the land.
Ngati Whare chairperson James Carlson says the state gave the iwi collective about $2 million to work through the process.
He says it now appears the iwi will have to fund an expensive court process to reach agreement.