Since when is being a flirt a good thing?

I am certainly open to comments on this, but I am wondering when and where it became a compliment to refer to someone as a flirt?

Last night, James, Cecilia and I went to dinner with Cecilia's Godparents, Kristen and Andy. We went to a local, family run restaurant - a very nice quaint place. Cecilia, true to herself, from her high chair began waving and smiling at anyone and everyone within range. She loves to wave at people - at Church, any store, and yes, in restaurants as well and she loves when they wave back.

Well, she waved at 3 or 4 tables near us and most people simply waved back and smiled. A couple asked how old she was and what her name was. She simply likes interacting with people and is a very friendly baby provided no one tries to hold her.

One man, at one table with another woman who I assumed to be his wife and two young girls (about 12 and 14) I assumed to be his daughters, to whom she waved and smiled responded by waving back and pointing back in what seemed to be a very friendly manner. And then he began to call her a flirt and tell me that my daughter was "a little flirt." Now he may very well have simply meant to be cute or funny, but I must say I took offense. Not only is the sheer idea of a girl as little as she is flirting with a grown man with his wife and daughters disturbing, but it is hardly a compliment in my book to tell me my daughter is a flirt. If anyone told me that about my teenage daughter and I found it to be true she and I would have to have a little talk.

Perhaps I am simply old-fashioned but I was neither amused nor flattered by such a comment.