That's what any company would do. I think the better thing to do with your child would be to ground her for her health, and seeing as how you cannot receive or send text messages from and iPod Touch, you wouldn't find much information (unless it was via email, which could be accessed on any computer).
If the iPod has the red "disabled" notice on it, it means that someone set a passcode on the screen lock and either that person forgot the code or someone else tried to access the iPod and entered the wrong code too many times. The only way into the iPod at this point is to restore it, and that will erase all the data on it which would of course defeat your purpose. There won't be anything Apple could do about this, even with a court order; it's just not technically possible for them to get past the block and still keep the data intact.
If the iPod was synched to a computer you have at home, you could restore it using the most recent backup. That would allow you to reset the passcode. But even if you can do that, there is no guarantee that any text message app your daughter might be using would have its data in a form where it could be backed up. If it's a possibility, though, see:
Otherwise, I understand your concern and sympathize with your aims, but unless there's a service somewhere that could crack the iPod open and directly access its data (I've never heard of such as service, but I can't say that one doesn't exist), there's probably no way you could access the data you need.
Candace Greene did you notice that the post is over three years old?
Candace Greene wrote:
I suggest you either get an app that moniters all of your daughters texting or simply revoke her phone privilages. There are also ways to restrict what she does on her phone once you get in which I suggest doing.