The Great Fire was the event which shattered the power of the Soul Eaters, ithirteen summers before their return to the Forest.

When the Soul Eaters revealed their true coulours to the world, two of them became disillusioned and tried to leave but the others wouldn't let them. To ensure the Otter Clan Mage's loyalty, Eostra took Narrander's son, Narik, as a hostage. However, the Wolf Mage, who also wanted to leave, wouldn't stand by while the Soul Eaters sought to destroy the Forest.

On Soul's Night, the Soul Eaters gathered on a hill which lay on the verge of the Deep Forest. The hill had long held demons out of the world although they always sought to escape. The Mages planned to release the demons to do their bidding, using the power of the Fire Opal to bind them. However, once the Soul Eaters released the demons, the Wolf Mage broke the ritual by shattering the Fire Opal, ending their control of the demons. He then set a fire which banished the demons back to the rocks of the hill.

However, the fire escaped his control and several of the Soul Eaters were badly burnt, such as Tenris and possibly Eostra. Narik was also killed during the Great Fire; his father found the body, which drove him mad with grief. The Wolf Mage and his friend, Fin-Kedinn, alone knew that Narrander survived the fire and they swore that he would never tell anyone. The Wolf Mage made it seem as though Narik had been Narrander to protect his father from the Soul Eaters. Narik's ghost continued to haunt the hill forever after and nothing grows on it. It was renamed Burnt Hill after the Great Fire.

The Great Fire scattered the Soul Eaters, whose power had been broken by the destruction of the Fire Opal. However, the orbe's power had not been destroyed and three fragments remained. One was taken by the Wolf Mage who hid it in the hilt of his knife, another was eventually found by Tenris and the last remained in the hands of Eostra. Sixteen summers later, the three fragments of the Fire Opal were all destroyed along with the remaining Soul Eaters by the Wolf Mage's son, Torak.