In 1966, in North Bend, Oregon, the runaway Kristen is captured by the police after burning down a farmhouse and is locked in the North Bend Psychiatric Hospital. Kristen is introduced to Dr. Gerald Stringer, who uses experimental therapy. Then she meets the inmates Emily, Sarah, Zoey and Iris and the tough nurse Lundt. During the night and in the shower later, Kristen sees the ghost of a woman and she learns that she is Alice Leigh Hudson, a mysterious wicked intern that has disappeared.