All three of the Evil Dead films cut seamlessly together to form one massive, 3.5 hour long movie.
Due to different companies involved in each of the ED sequels, Raimi and Co. had to reshoot portions of the previous films to 'recap' the story. This caused much confusion as to whether ED2 was a remake of the first or a sequel, and also making ED3 not 'match' the ending to ED2. Confusion abounded.
Contrary to popular belief, Sam Raimi actually hid 'edit points' in each of the sequels, and when utilized, I've come to find that within the three movies, there's actually one epic 'Evil Dead Experience' with perfect continuity (aside from Bruce's age).
I also reduced the approaching group of people in ED2 to keep the 'experience' centered on Ash.