
The film begins after the death of magistrate and amateur sculptor Simon Cordier (Price), when those left to inherit his possessions begin reading the diary he left behind. The diary begins with Cordier's visit to a man in prison who he has sentenced to death for murder. The man tells him that he did not really kill the four people he was convicted of but was possessed by some evil force, called the Horla, that made him commit the crimes. The man tells him that he wants to die, his eyes begin glowing, and he attacks Cordier. The man ends up dying and Cordier cannot help but think about what happened in the jail cell. After the incident, mysterious things begin to occur around Cordier's home and he begins to think that the death of his wife and son are somehow linked to all of these strange things.
Soon, Cordier begins to doubt his own sanity and wonder why he can see all of these strange things when no one else can. On the advice of a doctor, he decides to focus on his sculpting to help with his sudden madness and hires a model, Odette Mallotte DuClasse (Nancy Kovak), who instantly intriques him. Odette is married to Paul DuClasse, a struggling painter who is not too thrilled about the idea of her posing for anyone other than him. The sculpting seems to help with Cordier's condition at first but when his sculpting with Odette is over, the spirit returns. The Horla spirit accuses Cordier being a murderer and tells Cordier the spirit will haunt him until it breaks his will. The spirit gains hold of him and tells him to persue Odette, taking control of Cordier's life and sending him spiraling into madness.

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