Yeah, there is a real bizarre and powerful movement in America that seems to be saying that any information or exposure children might have to sex is going to be the downfall of all culture. You know, if children are traumatized by exposure to sex, seems like the reason would be because they have no idea what they're seeing. If a child if exposed to a sexual predator, that's one thing, but not all sex is rape and not all nudity is flashing. I wouldn't want a 5th grader watching this tape, but I don't think it's reasonable to think it will drive them into a catatonic state.
As a matter of fact is... most 5th-graders have already been exposed to nudity, even porn at that point. So she really just picked the very right age to do it.
If anything, the only bad thing I can truly see is that the teacher's reputation is going to be ruined amongst the students, as their picture of her will certainly not be the same afterwards ;)
Really, I don't see the big deal, since many 12-year-olds are already starting to engage in sexual relationships. And hell, it's natural too, since that's when puberty really starts. I don't see why we must "protect" people from that which is the most natural thing in the world.
Sometimes I am glad Canada is a little closer to its British Roots, just ask almost any other Canadian what TV looks like here past 9 pm sometimes.
Softcore porn used to be the norm on late night Canadian Television, I believe anytime after 9 pm local is still considered adult prime time and the stations in general are allowed to show almost anything (hard-core is out, theres money to be made there on the specialty stations). Most stations choose to maintain close to the American standards but we have a lot less bleeping and cutting of shows here on average. I can't watch a a movie on an American export station here, its painful.