Chris White said he was shocked when a security guard approached him at the Braehead shopping center, located near Glasgow, and told him to delete the "illegal" pictures he had taken of his daughter, Hazel, 4, The (Glasgow) Daily Record reported.
White said he was removed from the mall and questioned by police officers citing the Terrorism Act.
A spokesman for the mall apologized Monday and said the policy is being revised.
"We have listened to the very public debate surrounding our photography policy and as a result, with immediate effect, are changing it to allow family and friends to take photos in the mall," the spokesman said. "We will reserve the right to challenge suspicious behavior for the safety and enjoyment of our shoppers."
White said he was happy to hear about the policy change.
"I'm pleased that at last Braehead have given me an apology for the way I was treated," he said. "They have seen common sense and are also changing their ludicrous policy on taking pictures."
Strathclyde Police apologized for any "distress" caused to the 4-year-old and said officials are investigating the incident.