It was the king who owns all the land, but he parted the land into pieces and gave them to these people called lord's to control. The lord's then parted the land more and gave those pieces to the knights. The knights finally gave the land to the peasants and made them work for him. This system was called the Feudal system. As peasants worked for the knights, they were to pay taxes to them for the use of his land. The knight would also pay a tax to the lord for their use of his land. It would all go up to the king and he would pay a tithe to the church. The Feudal System was very orderly and clean.

A King A Lord Vassals A Knight Ordinary Peasant
Pic URLS...
King: http://t1.gstatic.com/images?q=tbn:ANd9GcSTpQFYKXkpfl5FrAgkPBi0s-AGO12kuMyhb8vbnPxTK0HigXYXCA
Lord: http://t2.gstatic.com/images?q=tbn:ANd9GcT3-lIlxTQlx746aUSCM9qlMUqKT0dMDe7EFOR_Eej_2YY-2OIy
Vassal: http://t3.gstatic.com/images?q=tbn:ANd9GcR51FbPBvRxlTIBImTO32OUG7Aa9XSITISVNTgf5U8ReBF9V4z_
Knight: http://t0.gstatic.com/images?q=tbn:ANd9GcQrXH59hm7qg74ixM-oKV9WwXA1BMjg3EsZpSzVYtpkFdGyhtmmQQ
Peasant: http://t0.gstatic.com/images?q=tbn:ANd9GcRyhZcjBRAFooiKzShXfO1vebhEKRoFRcW3YclscsF8SiETr6mW