Freddy Krueger has slain many children and teenagers, and is currently on the loose, but after a police officer catches Freddy trying to kill his daughters, Freddy is arrested. During the trial, the judge unfortunately discovers Freddy was never read his rights, so the judge must let him go, but it does not end there.
Steve Dart a student at Springwood High School decides to take it easy to escape stress. When he is called to the principal's office he starts having nightmares and soon discovers the high school's shocking secret. In the second half, Matt is a young Springwood High School student whose SATs are coming up soon. He begins to have strange nightmares and illusions of his life if he fails his SATs.
After teenager Adam is coerced into cheating on Laura (Tamara Glynn) with Loni, a girl he meets at a party, he finds that she is looking for a more permanent relationship. Meanwhile, Adam's friend Max is forced to abandon his planned summer trip and take a job in a pizza place working under his creepy, tyrannical uncle (Jeffrey Combs).
Doug and Roxanne move to Springwood, but while Doug's at work, Roxanne begins to unpack and discovers that a mix-up with the movers has left their house filled with someone else's possessions – in the boxes she finds bloody knives and shredded dresses. Meanwhile, Emily discovers a stack of 19th century love letters hidden behind a panel in her new home, and she begins to envision the relationships of the authors.
A photographer (Patty McCormack) who is anxious to get her career back on track gets some unexpected help on her latest photo shoots from Freddy, who is terrorizing her models. Meanwhile, three FBI agents come to Springwood to investigate a family homicide, but Freddy has some surprises in store for them.
Professor Windom is a man with a drinking problem. But he has to get over his fears, and quickly, as a former student of his is in a lot of problems and needs his help. The second half of this episode is about Barbara, who is a bitch at work. She starts getting stressed out when her computer starts talking to her and believes she's going to be in trouble with the cops for tax evasion. Unwittingly she jumps into her computer to stop the certain file from being saved.
A recent widow (Mary Crosby) comes to the realization that her late husband (David L. Lander) purchased a winning lottery ticket, so she goes to great lengths to recover it – and keep the winnings for herself. Meanwhile, a grave digger (Tracey Walter) resorts to blackmail to land the woman of his dreams.
An escaped convict (Marc Alaimo) returns home to retrieve the money he hid from a bank robbery, and discovers his son is bitter and his wife (Sheree North) has lost her mind. Later, a couple (Chris Nash, Ruth de Sosa) illegally adopts a baby, but as the little girl (Irina Cashen) grows, her new parents come to the realization that she may be evil.
In this sequel to "Dream Come True", Charlie Nichels, the new host of Springwood Confidential, receives a warning from Freddy not to proceed with his latest show topic: "Dreams That Kill." Meanwhile, a doctor performs an experimental brain matter transplantation surgery on a patient that results in the man awakening with another man's personality—and dreams.
A lecherous psychiatrist who hypnotizes and seduces his female patients is caught in the act by a colleague, so he hatches a devious plot to get out of doing time. Meanwhile, a dyslexic man who accidentally murdered the psychiatrist under a trance is convinced by his girlfriend to undergo surgery to alter his appearance, but the face they choose also belongs to a mobster.
During a camping trip, a female tracker's strange behavior leads the men to believe that she may be a vampire. Later, plane crash survivors are forced to eat the corpses of the dead to survive. As the fiancee of one survivor desperately searches for the wreckage, an escaped convict also wanders through the mountains.
After Kim leaves her job to pursue her dream of writing a novel, her husband, David, convinces her to make an erotic recording on a 976 number to bring in extra cash. But Kim starts to have a mental breakdown when an obsessed caller begins murdering. Meanwhile, after reading Kim's manuscript, David wonders if Kim has herself assumed the murderous, sexually deviant personality of the heroine of her novel.
In this follow-up to "Interior Loft", an artist (Robert F. Lyons) fakes his own death to both increase the value of his work and avoid prosecution for the accidental death of one of his models. Trapped in his apartment, he becomes stir crazy and accuses his wife (Fabiana Udenio) of having an affair. Later, two ladies (Leslie Bega, Tory Polone) reluctantly agree to let a guy (Dean Fortunato) move into their loft, and he quickly begins playing them both.
In this follow-up to "Prisoner of Love", Andy Caulfield is a prisoner who is about to get parole, until he is faced with a prison counselor who also happens to be a relative of one of his victims. The second half centers on Warden Hendler, who is using prisoners as guinea pigs to test a new drug for extracting vital information, until the experiment backfires with drastic results.