Originally Posted by daycarediva:
My only issue would be with the mother not being upfront AND then they way she worded it to you, as a thinly veiled threat.
Did you accept them and tell them such before this text?
I would be very tempted to tell them that based on how she threatened you, you do not think you would be able to form a good business relationship with her and that you think it best that they not enroll. Then deal with her backlash. Which will PROBABLY be a giant temper tantrum.
It's MY HOME. I can accept/not accept anyone I want. I don't discriminate, but I can tell you that if a parent told me I *had* to accept them, I sure as hell wouldn't. 
Amen to this!
I would terminate for this. If they had discussed with you, that's one thing. But threatening you? Not exactly a good way to start a business relationship and I would tell her so.