I have had this issue as well. The only thing that seems to help is to make sure your watch is fully charged. But even that is not a guarantee. Two nights ago the watch said I slept for 2 hours, then nothing for 3 hours and then it said I slept 1.5 hours! Even though I was asleep the whole time!
Then last night it had me sleeping 6 hours straight through and I had not charged the battery!
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As I stated in my original posting, I have turn the device on and off, numerous times, I have checked all the settings, numerous times, all to no avail. I have checked fitbit’s help topics and there has been nothing addressing this issue. How does one get fitbit to reply to these complaints?