I played LOTORO from late beta up to about a month or so ago. While you can certainly do crafting, and focus on "pick a bunch of berries" quests, sooner or later you're going to have to stab, slash, gouge, bash, and blast things -- or team up with someone who can do that for you.
There isn't really any way of entirely avoiding that if you actually want to progress in the game.
If you want to minimize that, I'd probably go with the minstrel. "Attacking" with the lutes and such is actually quite fun and refreshingly different than trying to decapitate everything in sight, and it sort of minimizes the gore in combat.
You can focus on healing (though minstrels can do a fair amount of damage) and doing good deeds and what not.
If you're really concerned about it, I would instead consider some of the kids-oriented MMOs that are out there, or wait and see how the Lego MMO that Netdevil is working on turns out (though I'm skeptical that can make a 2008 release date).
Honestly though I would be more concerned about the type of garbage your child might encounter in the chat channels than some pixeldy fantasy violence. That's why all these games (MMO or not) have disclaimers that "your online experience may change," regardless of what the game's rating is. Some military shooter may be rated T, but the online experience probably has players cussing creatively and using rascist terms and epithets in a way that makes sailors blush and outwits obscenity filters.
To be fair to LOTORO, I found the chat channel level of nastiness relatively low. It only got ugly for me on certain teams when people would get angry at someone for not playing perfectly. I think one of the reasons I enjoy Tabula Rasa (which I wouldn't recommend for a 10 year old, fwiw) is I don't have to listen (read chat text of) to people cussing each other out for not tanking, healing, pulling properly.
I have a 10 year old nephew, and I guess I would worry more about some nasty teammate insulting or bullying him in a game (which should be fun, afterall) than the effects of stabbing an orc with a halberd. Certainly there are ways around this (you can turn off chat, you can monitor him and not let him team up with people etc.), but they sort of squash some of the points of an MMO game.