iPod 5th gen - HELP

So, my friend gave me a new iPod touch 5th gen, and he gave it to me and told me he was having troubles with it. I didn't think it was a big deal, till I tried to connect to iTunes. I attempted to log into my itunes account, and I tried two different accounts. Each time, it gives me a message that says "Verification Failed. There was an error connecting to the Apple ID server." I rebooted my iPod twice, and I even changed the date/time on it. None of those seem to work. Any ideas? I'm taking it to my local Apple store on Sunday. VERY Frustrated. Also, I'm unable to update from 9.1 to iOS 9.2.1