On November 6, 2018, Smith was defeated by incumbent Governor Henry McMaster. Smith held 46% of the popular vote to McMaster's 54%. Smith joined the United States Army Reserve in January 1996 as a Judge Advocate General's Corps (JAG) officer, transferring to the South Carolina Army National Guard in the same role in August 1998. In 2001, following the September 11 attacks, Smith resigned his commission and enlisted as an infantryman, beginning basic training. In February 2007, Smith deployed to Afghanistan as an infantry officer, part of Operation Enduring Freedom. He served as a combat advisor to Afghan National Security Forces in remote areas of southern Afghanistan. During his 12 month tour, he received the Bronze Star Medal, Combat Infantryman Badge, and Purple Heart. He remains a member of the South Carolina Army National Guard, at the rank of Major. Smith founded his law firm, James E. Smith, Jr., P.A. in 1995. It provides representation to people in South Carolina, North Carolina, and Georgia. The firm provides legal help to injured people, including members of the military, as well as class action lawsuits and business law and litigation services. Smith married Mary Kirkland Thomas on February 9, 1991. They have four children: James Emerson III, Thomas Bridges, Paul Bradford, and Shannon Elizabeth. Smith is also a member of Trinity Episcopal Cathedral and Church of the Apostles.