This may sound a little odd, but I'll throw it out there for what it's worth--two of mine did something like this (Chico still does occasionally), and my standard operating procedure became picking child up, taking him to the bathroom, and sitting him on the toilet (with just a nightlight on in the bathroom). They usually continued to cry, but did have a bit of a piddle, then I carried them back to bed, tucked them in, and the crying stopped, and sleep came quickly.
I think here it may have been related to some anxiety about staying dry through the night? Or maybe not, but in any case, I didn't see that a quick trip to the head was going to hurt anything. I don't think mine were having true night terrors, though.
peace
minnie
