Help! Discovered my 7th grade daughter was playing "smash or pass".

OK, I need some help here. My daughter is 12, and she has a phone but our agreement is that we can look at the phone whenever we want to. So my wife was looking at her phone the other day and found a text message where a boy, age 14, asked her if she wanted to play smash or pass, which apparently is a game where one person says a persons name, and the other person has to indicate whether they would smash (get with them) or pass (not get with them). Now, I know smash is a term used for sex but I don't know if my daughter actually realizes that or just thinks it's a game where you say whether you like somebody or not. Anyway, in this text conversation the boy asks her if she wants to play, and they start playing. My daughter answers "pass" for the first couple of people, but then on the third person she answers "smash". At this point, the boy replies and says "where do you want it"? My daughter replied "Huh"? He replied, "where do you want the c*ck"? My daughter didn't reply to this. I'm thinking maybe she never thought it was actually about intercourse, which is why she didn't know what he meant the first time he said "where do you want it". Maybe that is just wishful thinking though?My real question is, what should I do about this? Should I talk to the boys parents? It really pisses me off that he sent her a vulgar message like that. I haven't said anything to my daughter.Suggestions?Troubled Father via /r/Parenting http://ift.tt/2zBY72K