Q: 1437 Error - iPod Shuffle (Gen 4) using windows 7

I assume you have already seen this article and tried each of the provided troubleshooting suggestions? It doesn't specially state 1437, but same steps can apply.

iPod: Cannot restore or update in iTunes with error 1415, 1417, 1418, 1428, 1429, 1430, 1436, or 1439

It might help to make sure iTunes is the only running application and that all other USB devices are disconnected from the PC. 

Lastly, as a troubleshooting step, temporarily disable any and all security/antivirus/firewall software.

B-rock