Methods of treating, preventing and/or managing dysfunctional sleep, including but not limited to, dysfunctional sleep associated with chronic neurological or inflammatory condition such as pain and neurodegenerative disorders, which comprise the administration of one or more immunomodulatory compounds or a pharmaceutically acceptable salt, solvate, stereoisomer, clathrate or prodrug thereof, alone or in combination with known therapeutics are disclosed. Pharmaceutical compositions, single unit dosage forms, and kits suitable for use in methods of the invention are also disclosed.