I do not have a Touch but I have had times when I needed to recover music from my Ipod Classic. I am assuming this method will also work for your Touch.

1.) Ipod must be set up as portable hard drive in Itunes(I might be wrong but I do not have mine with me right now to test so I will leave that as step one. You can try it with out changing the settings in I Tunes.)

2.) Plug Ipod into PC.

3.) Using Windows Explorer navigate to the Removable drive letter that corresponds to your Ipod.

4.) Use the search function for (.mp3) in that drive letter.

5.) You should see a bunch of files named with four characters like this....GHBR.mp3 or something. (These are all of your MP3 files renamed on the Ipod.)

6.) Highlight all the search results and copy them to the new location of your choice.

7.) Use MP3 Tag Studio or some other tagging software to rename the files using the Tag data. (It does not take long even on 10,000 files like I have).

8.) Rest easy knowing that now you have your files safely backed up again.

Cheers.