There was a brief scare that she was killed when the Death Eaters arrived at a M.F.P meeting, but she later proved to be alive and well.
Canon Divergence Edit
While James must've had a mother, the character of Grace Potter was entirely created by Jewels5. JK Rowling, author of Harry Potter revealed in a pottermore post the name of James mother was Euphimia. This information was not availabe to Jewels5 at the time.