Before this question can be properly answered, you need to define what you mean by "feudalism." Feudalism is a concept that has been debated in previous threads, and is a term that is not particularly favored by historians. Some would potential argue that feudalism is still in existence today. Perhaps what you are asking is what was the last country to employ Serfdom.

Try reading these threads:

When did feudalism totally die out: http://www.reddit.com/r/AskHistorians/comments/1av1aa/when_did_feudalism_totally_die_out/

Why is the term "feudalism" falling out of favor with historians: http://www.reddit.com/r/AskHistorians/comments/1ap2li/why_is_the_term_feudalism_falling_out_of_favor/

Feudalism in the medieval era is often seen in a negative light. Were there any positive effects of feudalism: http://www.reddit.com/r/AskHistorians/comments/1cklrh/feudalism_in_the_medieval_era_is_often_seen_in_a/

I believe Sark is considered the last feudal state in Europe, although some election reforms were made in 2008. The island is governed by a Seigneur, a feudal lord. I am not an expert, however.