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Mail your return with an explanation that you qualify to claim her but someone else fraudulently already claimed her.
As Champ @Bsch4477 suggests, one remedy is to file your return by mail. The IRS does not reject mailed returns. They will process the mailed return that claims your grand child and sort out the duplicate use of her SSN. Someone will face repayment of child-related credits they were not entitled to receive.
Another possibility:
GET IP pin in order to e-file if your dependent’s SSN was claimed on another return
https://www.irs.gov/identity-theft-fraud-scams/get-an-identity-protection-pin
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