A direct-to-video release, the film is the second sequel to the 1984 film Silent Night, Deadly Night and centers around the Christmas-obsessed killer Ricky Caldwell awakening from a coma and stalking a blind teenager with psychic powers, while she travels to her grandmother's house for the Christmas holiday with her brother and his girlfriend.

After being shot down by police, the infamous Santa Claus Killer Richard "Ricky" Caldwell is left comatose for six years, with a transparent dome affixed to his head by the doctors in order to repair his damaged skull.

Wanting to contact Ricky, the eccentric Dr. Newbury begins using a blind clairvoyant girl named Laura Anderson to try to reach out to him.

As the trio heads off to Granny's, they overlook Ricky (who can hear Laura thanks to their mental link) following them.

Acquiring a truck and some fuel after murdering a motorist and a gas station attendant, Ricky makes it to Granny's first.

They begin trying to track Ricky down, realizing he is drawn towards Laura after surveillance camera footage shows him uttering her name.

Laura senses Ricky staring at her through the window and screams, bringing Chris and Jerri back to the house.

In the basement, Laura is encouraged by a vision of Granny, whose body she finds hanging from the ceiling before knocking the light out.

Unfortunately, the shotgun fires blanks, and the unharmed Ricky snatches it from Chris and uses it to choke him into unconsciousness.

Driven away by Connely as the body of a survivor is rushed to the hospital by paramedics, Laura wishes the lieutenant a "Merry Christmas" before having a vision of Ricky breaking the fourth wall as he states, "... And a Happy New Year".

[5] Lionsgate re-released the film to DVD on January 4, 2011, in a "4-Film Collection" set along with My Best Friend Is a Vampire, Repossessed and Slaughter High.