You said that your iPod is "brand new"...
How do you know that?
Just because it's a new model, that does not mean that someone else did not already purchase it, and return it for some reason.
And, the shop resold it to you as a new, sealed box...
If that name is NOT on your own computer somewhere, then it must have been on the iPod - probably the previous owner or user.
If you did not buy your iPod directly from Apple (at an Apple retail store, or through the online Apple store), then you really don't know if it is new, or a return.
It's not a really big deal, as you can restore it to original factory condition by plugging your 'new' iPod into your PC, with iTunes open. Click the Restore button in the device general info window in iTunes, and let that restore complete.
Try that restore.
After you try a restore, if Sarah Elizabeth Canez STILL appears, then that's on YOUR computer, and probably won't appear on anyone else's computer (other than the real Sarah Elizabeth Canez
)