At a carnival in Germany, Francis and his friend Alan encounter the crazed Dr. Caligari. The men see Caligari showing off his somnambulist, Cesare, a hypnotized man who the doctor claims can see into the future. Shockingly, Cesare then predicts Alan's death, and by morning his chilling prophecy has come true, making Cesare the prime suspect. However, is Cesare guilty, or is the doctor controlling him?