The Somnambulists (2006)

Plagued by terrifying nightmares, Francesca finds herself waking up in tears. Her Grandfather explains the legend of The Somnambulists - the spirits of people wronged in life possessing the living in their dreams. To make matters worse, the sleepy little town Francesca lives in is being terrorized by a deranged serial killer. As Francesca loses her grip on reality, she begins to realize that the legend of The Somnambulists may be more than just a legend.