Hey!
I have the same problem but with different specs.
I'm using the latest OS X Yosemite 10.10.
And also the latest iTunes version 12.1.0.50.
When I enable the VoiceOver on my iPod shuffle, the language dropbox is not accessible.
Then, it prompts the terms and conditions and also the details of the VoiceOver kit version, and it says the new update has now support for OS X Lion... But I'm using Yosemite...
Then, I get the annoying error 1701...
Already tried to uninstall the VoiceOver kit framework, but no success... Already restored the iPod, no success. I've been searching all over the web and this used to be a problem but it was solved with a OS X Lion update... Well, we have Yosemite now, it's about time to come up with a fix!
Does anyone have any suggestions to fix this? Maybe someone using Yosemite with the VoiceOver kit working, could copy the framework file and let us download and replace ours, to see if it's any good... Other than that, really dunno what to do...