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There's a Kill Team tourney starting at my FLGS and I was looking up the rules. It says that you aren't allowed Unique/Named models. I was wondering if you would include the Ymgarls and named models as they are kinda in the special character section of the codex, or if they would be allowed as all the others do say Unique wheras the Ymgarls don't.

Thanks for the help.

You should speak to the person organizing the tournament, he/she will have the final say on if they are allowed or not.

How would they be used too I mean, would all of them come out of one piece of terrain or would you choose one piece of terrain for only one genesteeler as they are all to be considered their own units?

I would deploy each one as if it were a unit of one.

Kill team makes you deploy everything on the table at the start, no reserves. So they wouldn't be able to use dormant, right?