I appreciate all the responses. The funny thing is, she is extremely educated on nutrition(thinks to yours truly). I have heard her tell numerous people the difference between high gi and low gi foods, monunsaturated and polyunsaturated fats, and one day I was suprised to hear her start debating me on whether dextrose or maltodextrin would spike insulin more.
I mean, she is smart as a tac when it comes to nutrition, she is, and has always been extemely picky when it comes to food. I don't think she has yet to make that food=fuel connection, and still thinks that everything should taste at least pretty good. Learning to like something over time just doesn't seem to happen with her.
In conversatins with her lately, I still think that there is some of the "well everybody else my age eats junk and stays skinny" mentality I went the route of low carb simply because I thought it would be the most feasable for her to do, and also because it shows results relatively quickly, which is motivation that is hard to come by for a 12 year old on a diet. Her activity level is fairly high, she takes some type of dance lessons, I believe around 3 times a week, and will be starting cheerleading in the winter.
As stated before, I hope to have her on good carbs within a month or so. She has actually started to like the frozen entrees that the South Beach Diet dudes put out. On glance of the ingridents, everything seems to be based on whole wheat and canola and or olive oil, even the cookies look pretty healthy. Once again thanks for all the feedback, this site and forums continue to impress me.