She played the lead in Simon Fellows' Malice in Wonderland, a modern adaptation of Lewis Carroll's Alice's Adventures in Wonderland.
She has begun production on Flying Lessons and appeared opposite Tom Cruise and Cameron Diaz in James Mangold's film Knight and Day.
Grace's next role was in the 2007 independent film Suburban Girl, alongside Sarah Michelle Gellar and Alec Baldwin.
In 2007, she starred in The Jane Austen Book Club, based on Karen Joy Fowler's novel of the same name.
After the filming of The Jane Austen Book Club was completed, Grace briefly returned to Hawaii to shoot a guest spot on the Lost season 3 episode "Exposé".
She starred in the 2008 thriller film Taken with Liam Neeson, who was at the top of a list of male actors Grace wished to work with that she had written just two months before she was cast.
She was nominated in 2005 for a Teen Choice Award for Choice TV Breakout Performance – Female for her role on Lost, but lost to Desperate Housewives' Eva Longoria.
She is a fan of Jane Austen and had read Fowler's novel when it was released in 2004.
When she was given the film's script, she met with the director Robin Swicord, with whom she says she "geeked out", and was given the role of Allegra, an openly lesbian 20-year-old.
After ranking at #27 on Maxim's Hot 100 list of 2005, she returned for Lost's second season.
Her character was killed off the series in the season's eighth episode, "Collision" when the series' writers began to feel that the character's "story avenues [were] limited".