The Office had a tendency of serving up memorable Christmas episodes throughout the show's nine seasons on the air. The sitcom set the bar high with its first holiday-themed episode, "Christmas Party," in season 2. It featured an innocent Secret Santa which quickly turned into a tension-filled Yankee Swap due to Michael Scott's displeasure with his gift.

"Christmas Party" served as The Office's first foray into the holiday season and gave viewers a look into the struggles of the Party Planning Committee, especially when it came to appeasing the entire workplace. As part of the Dunder Mifflin Scranton branch's celebration, the employees planned to hold a Secret Santa gift exchange. Each person was assigned a coworker to buy a gift for as long as it didn't exceed the $20 limit. Rather than follow the rules, Michael bought a $400 iPod for his recipient, Ryan. When Michael received a handmade oven mitt from Phyllis, he became angry that others didn't bring equally as expensive gifts, so he changed the format of the exchange to a Yankee Swap.

Related: The Office Teased Dwight & Angela’s Relationship In The First Episode

After Michael returned from his minor freak-out, he briefly explained to his employees the rules of the Yankee Swap — which Dwight summarized as "Machiavelli meets Christmas." Rather than a traditional gift exchange, one person chooses a gift from under the tree. The next person can either choose a new gift from the pile or they can steal the previous person's gift. If your gift is stolen, you can steal someone else's or you can pick a new gift under the tree. This continues until each person has a gift in their hands. Some believe that the name "Yankee Swap" came from the swapping of prisoners during the Civil War. Others claim that the term originated when Americans would trade goods in marketplaces which immigrants viewed as "Yankees swapping gifts." Over the years, it grew into a holiday tradition as seen on The Office.

How The Yankee Swap Ruined The Secret Santa Gift Exchange On The Office

The Office

Other names for the Yankee Swap include Dirty Santa and White Elephant. Whereas Yankee Swap is meant to include practical gifts, a White Elephant usually includes odd and ridiculous gifts. The general rules stay the same but some aspects may vary depending on the preferences of the participants. For example, some enjoy opening gifts as the game goes on while others wait until the very end when everyone has a gift in their hands. Any gift exchange is a fun holiday party game for friends, family, and coworkers, but this wasn't necessarily the case with Michael's Yankee Swap.

The Dunder Mifflin employees purchased gifts specifically for their matches. Jim bought Pam a teapot and put personal side gifts inside that would only make sense for her. During the swap, Pam stole the iPod from Ryan and the teapot bounced around and eventually wound up with Dwight. The Yankee Swap ended up ruining everyone's planned gifts as they went to the wrong recipients. With the mood already at rock-bottom, Michael's only answer to fixing the party was fifteen bottles of vodka. The party wasn't a complete failure, however, as Pam went against the Yankee swap rules and traded back for Jim's teapot, making for one of the most touching moments in The Office.

Next: The Office Theory: Dunder Mifflin Suffered From Radon Poisoning