Born in Cleveland, Ohio, Graves had already been cast in 46 films, half of them produced by Mack Sennett, before he wrote, directed, and starred in Swell Hogan in 1926. That film was produced by Howard Hughes, whose father had once supported the young actor in the early stages of his career by placing him on the payroll of the Hughes Tool Company between screen assignments, even though Graves never actually worked there.

Despite this temporary setback, Graves directed four more films in 1927 and contributed the story or wrote the screenplay for 12 additional films, but most of his career was spent acting. While working for Sennett, Graves met director Frank Capra, who later cast him in several films, which include the 1929 release Flight, based on a story by Graves, as well as a series of adventure films with fellow actor Jack Holt.

Graves retired from films in 1949. He died in Santa Barbara, California, aged 77.