I'm okay with this as long as an enemy can come and kill the player in his or her sleep. I'm all about the realism.

When wait/rest in Oblivion there will not pop up a black screen showing the time and date bla bla, taking you out of the experience, there will instead be a camera floating in birds-eye-view with a nice zoom out and in feature like when you view the map + timelapse, if an enemy approaches you will zoom back into your char, time will slow down for 3 seconds dovakhiin will stand up and draw his weapon ready for the danger a head, time and date will be small numbers and letters down in the corner on a transparent bar.

for me this is probably the best thing.

I miss that too. Curse those deer!!!

Good idea. You should see the sky turn as the hours pass by, and it slows down when enemies are coming to attack you.

I really hope they do a see you sleep kind of sleep animation, and get rid of the you cannot sleep message and just let the player get woken by a monster attacking him.

The thing I hated was how it stopped fast travel, that is like saying the squirrel I ran over stopped me from going to work. I mean if your faster than your enemy you should be able to escape with fast travel and just be done with it. Or when you run into your house on the IC waterfront you still couldn't sleep because a mud crab was after you.