A re-telling of the Robin Hood legend from the perspective of twelve characters associated with the legend, the story centers around English noblewoman Lady Marian FitzWalter's encounters with Lord Robert of Locksley and his scheming rival the Sheriff of Nottingham amid the backdrop of Prince John's schemes – he aims to increase his own wealth and power at the expense of post-Conquest England and his brother, King Richard.

There, she is kidnapped by the prisoner William "Scarlet" Scathlocke, an enraged man imprisoned for killing four Norman soldiers, and is taken into the depths of nearby Sherwood Forest.

Marian gradually wears down the mental wall he had built up in captivity by the Saracens, and after his recovery at Ravenskeep, they consummate their relationship soon after she refuses DeLacey's offer of marriage.

Meanwhile, Marian barely avoids being forced to marry DeLacey, and only escapes with the help of the kind Friar Tuck and the Sheriff's seneschal Guy de Gisbourne, who is infatuated with her.

She flees to Huntington Castle; the Earl is displeased with his son's disobedience and their liaison, causing Marian and Robert to travel to the small village of Locksley, his namesake and holding.

Robert endeavours to steal the funds needed for King Richard's ransom, and begins robbing the rich with the help of Sherwood's outlaws, whom he has gradually befriended.

"[3] Describing the novel as a prequel,[3] the author explained, "I wanted very much to write the story of how the legend came to be; the tale of how seven very different people from a rigidly stratified social structure came to join together to fight the inequities of medieval England.

[4] In a 2007 interview, Roberson stated that writing the story was "extremely challenging" because she employs the viewpoints of twelve main characters[5] – Marian, Lord Robert, DeLacey, Sir Guy de Gisbourne, the Earl of Huntington, Eleanor DeLacey (the Sheriff's plain, scheming daughter), Friar Tuck, Will Scarlet, the minstrel Alan of the Dales (whom becomes an outlaw after being falsely accused of rape), the simple boy Much, the moneylender Abraham the Jew (who Robert uses to raise money for the ransom), and the shepherd turned reluctant outlaw Little John.

[5] Roberson has spoken of the difficulties of writing medieval women, particularly because so many contemporary authors are accused of giving their characters "anachronistic independence of thought and feminist leanings.

"[11] In an article published in the Journal of Gender Studies, Jane Tolmie stated that Lady of the Forest was another in a long line of contemporary fantasy novels that depicted women having to endure acts of rape, violence, and oppression as "aspects of a continuum rather than as isolated difficulties" – Marian for instance is subjected to abductions and attempted forced marriage.

[5] In 1999, she followed the novel with the sequel Lady of Sherwood,[2][18] which depicts the effects of King Richard's death: the outlaws are persecuted anew by the Sheriff, while the Earl works against John in favor of Arthur of Brittany.

"[11] The Library Journal lauded Roberson for thoroughly researching the story and yet not overwhelming readers with facts, and predicted the book would be popular in the wake of the 1991 feature film Robin Hood: Prince of Thieves.

"[20] Publishers Weekly praised the novel for its "lively storytelling and pacing", which helped make it "an enjoyable, almost creditable recasting of the Robin Hood legend as historical fiction.