Potlatches were the most distinctive feature of the Northwest, helping to share local bounty, keep track of the shifting loyalties among commoners, and legalize claims to nobly entitled names. Each one involved a formal display of crests, privileges, members, foods, and resources in the presence of elite witnesses and guests, who accepted meals and gifts in return for supporting these changes in the social fabric. During this feast and elaborate give-away, a noble family dramatized their clan crests via songs, dances, masks, effigies, and natural rarities. Later, guests would host their own potlatches to share what they had with their former hosts.

Throughout the Northwest, each nation held its potlatches at various critical life junctures. Tlingit held three major potlatches for piercing the ears of noble children, for funerals, and for memorials when an heir took the place of his mother's brother (uncle). Tsimshian held them to mark the death of a leader, while Haida celebrated the house dedication of a mature leader and then his death.

During winter, houses hosted potlatches and other events that were primarily religious, bringing together spirits, ancestors, and the living to celebrate changes in the status, ranking, and lives of kin. Side partitions were removed from inside the house, converting it into an amphitheater holding guests from near and far. Since everything had a soul, these ritual gatherings showed them respect and asked their help in feeding, clothing, and healing people.