Forgotten Tales

Tree axe doesn't work for my character what's going on.. and I need. Princess resa back

I'm chopping trees right now, it's working fine for me.
You can buy a basic wood axe at the blacksmith.
When it's in your inventory, you're all set.
Walk up to a tree, and hit the attack button - if you're close enough, you'll start chopping.
Same goes for mining (pickaxe) and fishing (fishing rod).

As for Princess Resa - she should respawn if she dies, and let you try again.
However, you can't get her if you have two pets.
And.. there is a little bug in it at times.
If you finish the quest, and it's still in your log book, you'll need to ask a GM in the game to fix it for you. You can sometimes find them at start map.