We Surrender!

Okay. Dude and I have about had it with trying to do the "right" thing and continue to tell our two kids to turn the other cheek and ignore other kids when they bother them. Besides they only have two. And we have continuously told them to tell an adult if another kid hits them. And someone needs to tell them not to tell me. It doesn't take much.
Now they will let other kids bother them but it doesn't take but a second for the two of them to be at it with each other. I guess that is how it is with some siblings.
Not sure how we got on the subject- maybe we were talking about aliens- and our eight-year-old, started talking about how a girl in her class called her a name. Now usually I calmly tell her to ignore that but hey, this girl's name has come up myriad times before for the same problem, so I was fed up.
"The next time she calls you a name, you call her the same name, or you firmly tell her not to call you that again!"
She didn't say anything.
"She keeps calling you names because you don't do anything," I told her.
It was quiet for about two minutes then she spoke.
"Next time she says something to me (pushing back her sleeves) I'm gonna say this to her (looking at her wrist) What time is it? (tapping her foot) Oh it's time for #*#*# to start being a little meanie isn't it?" And she was serious.
Dude and I looked at each other. We surrendered.
"Uh, honey don't even worry about it," I told her. "Don't even worry about it."