I wonder does it have to do with my ipod being jailbroke.

 

Jailbreaking the iPod shouldn't affect the listing of playlists.
Is the other one running the same version of iOS?
If you want to confirm the effect of JB, reinstall iOS, sync a couple of playlists, then see if they show up.
If they do, redo the JB, and see if it changes what is displayed.

 

Well I restored my ipod to factory settings with the latest firmware. Still no luck. It will just read the first playlist but wont read anymore. This is frustrating because it read my friends entire playlists. I guess its my ipod.

 

to be sure, and if your friend has the whole ipod database in her itune, maybe try to update her ipod with your itune to your songs/playlist. i don't think there is sufficient evidence that it's ipod problem yet (especially if on the ipod itself you can select a different playlist)

 

Sorry for the late update...I got the ipod to only show up 2 playlists. I plugged one of my other friends ipod and his only shows 2 playlists. I wonder is there another setting to allow all playlists show. I have looked and havent found anything.

 

Did you call VAIS? I've called them a bunch of times and they are super helpful.