If you like the scallops, keep them. if you want it to look more traditional, remove them.

Hi Jo,
Without a picture it is very hard to make a judgement. Are the cabinets stained wood? painted? What color? Scalloped cabinets will definitely date your kitchen, and they aren't the trend at the moment, but the important thing is whether YOU like them. I'm assuming it is the whole bottom structure of the cabinet that is scalloped, not just pieces of trim, right? Otherwise I'd say definitely just take off the trim.
Here's a picture I found of scalloped white upper cabinets used quite effectively in an updated context (scroll down to the second picture on the blog):
http://paigerien.blogspot.com/2011/03/its-all-tranny-nowadays-transitional.html

My instinct is to replace them, but I don't want to tell you to buy all new upper cabinets if there are more cost effective ways to make them look more up to date. So maybe you could either upload a picture or describe the cabinets' color and shape (and the rest of your kitchen) in more detail?

I would at least considering re-facing the cabinets if they are solidly built.

Perhaps there's one particular spot where you can preserve the detail. A pantry, the cabinets flanking the window only, a door opening or window valance?

http://www.google.com/imgres?q=scalloped+cabinet&start=98&um=1&hl=en&client=safari&sa=N&rls=en&biw=1235&bih=684&tbm=isch&tbnid=m5IdizOHGKCsPM:&imgrefurl=http://blog.designpublic.com/2007/04/27/jane-coslick-tybee-island-cottage-queen/&docid=OHQtBtlJGRLUKM&imgurl=http://blogmedia.designpublic.com/wp-content/uploads/2007/04/scalloped-edges.jpg&w=400&h=400&ei=g9v-T5aLOIHi2gXUsrXdBA&zoom=1&iact=rc&dur=384&sig=117241642592246365325&page=5&tbnh=152&tbnw=152&ndsp=28&ved=1t:429,r:18,s:98,i:62&tx=63&ty=73


I does also depends on what the scallop is, is it on the bottom of the uppers? Is it the backsplash? Or are the doors actually scalloped, like the bakolite cabinet here (that would be awesome)?

http://www.google.com/imgres?q=scalloped+cabinet&um=1&hl=en&sa=N&biw=1235&bih=684&tbm=isch&tbnid=wuKlRF3lTsd1hM:&imgrefurl=http://phonojack.com/RCA%2520Victor%2520Continued.htm&docid=zyqprVeIjeu95M&imgurl=http://phonojack.com/45/Crosley%252520RP-168%252520bakelite%252520scalloped%252520cabinet.jpg&w=1024&h=683&ei=qNz-T8mAM8qs2gXCvd2zBA&zoom=1&iact=hc&vpx=113&vpy=163&dur=2041&hovh=183&hovw=275&tx=104&ty=131&sig=117241642592246365325&page=1&tbnh=150&tbnw=181&start=0&ndsp=18&ved=1t:429,r:0,s:0,i:75

I love to see different shapes in rooms and rely heavily on vintage finds and antiques to keep spaces from looking like clients bought them straight out of a showroom. There is no worse sin to me than a room with no character. See if you can preserve it and if you can't work in some vintage charm with other elements in your new space. Fun! good luck!