In a medieval castle, a dark magician thought to be Mephistopheles conjures up a series of bizarre creatures and events in order to torment a pair of interloping cavaliers.

Georges Méliès
as Mephistopheles

Jehanne d'Alcy
as Young Woman
RottenPop
According to Wikipedia in August of 2011, Le Manoir du diable by Georges Melies is the first horror movie. Well, actually its a short film (about three minuets or so) but film was really hard to come by in that time so this counts as a film to me. The plot of the film is basic, you have your hero...
BrimmingTeacup
One of the first ever technical horror movies. While the term "horror" until the 30's, this can be considered one of the first of the genre. Hard to say if this or A Nightmare is the first film, but they do both use the same kind of jump cuts, and special props. Georges Melies is honestly crazy tale...