Scottish sports minister Stewart Maxwell says he is powerless to intervene in the dispute between the Scottish Rugby Union and Edinburgh.
Maxwell, who has spoken to both sides, said: "I think most people would be disappointed by the fact that this dispute is ongoing.
"It's a private matter, a contractual dispute between the SRU and Edinburgh.
"I'm keen to see that rugby develops in Scotland and that we see our country do well on the international stage."
In the latest development, the SRU have ordered Edinburgh to leave Murrayfield and repay £1.4m in advance funding by the end of Friday's working day.
However, Edinburgh owner Bob Carruthers has vowed to take the governing body to court over an alleged shortfall in funding of around £250,000 after the SRU rejected his plea for mediation.
Scottish National Party MSP Maxwell has directly pleaded with both sides to resolve the issue, but his efforts appear to have been in vain.
"Clearly, they both have to resolve that matter and move forward in the best interests of the sport," he said.
"I am just keen they resolve it sooner rather than later.
"I spoke to them both to say that we wanted them to resolve the matter as soon as possible so that we had the best interests of rugby at the forefront of everybody's mind."