yes
You cannot get all apps for free without jailbreaking an iPod Touch. It is not possible.
yes it is if you do it to coustomize your ipod/iphone and not to download paid for apps for free
no, its only illegal to download the apps for free its the same nearly everywhere.
jailbreaking the ipod touch is legal. But if you use the tool that gives you all apps free it is illegal.
all your current apps will stay the same after jailbreaking.
if you have wifi then you can go to the app store on the ipod touch and download it, or you could go on to itunes and get the app there I get the iPod Converter for put DVD and video to iPod touch without jailbreaking it.
Sometimes depends if the apps that you install have bugs
There are free apps, and as long as you get the apps that are supposed to be free for free, then it is legal. If you get the apps you are supposed to pay for free by jailbreaking the iPod Touch, it is illegal.
There is no possible way to put torrent apps onto iPod touch/iPhone. You shouldn't try to anyway because jailbreaking is illegal and you will get caught so be careful what you do guys. :P
There is an App Store app on the iPod Touch that is used to download apps.
Try going to www.apps.nojailbreak.com a friend told me about it and i have not tried it yet, good luck if it is real. I think Apple said after a while they will allow 3rd apps that you can download that are more safer, less prone to viruses etc. but jailbreaking is the way to go, i did it and have billions of apps (no problems). P.S not actually billions :P
I think you can by using iPod touch jailbreak, installous, winscp for computer and for iPhone first download apps on link below second open winscp and connect it to iPod touch third installous by using cydia (manage>smart-mobile.com/cydia) fourth copy app.ipa into var/mobile/libary/download fifth open installous click download click app wait for install six enjoy !!! Jailbreaking your iPod Touch will not allow you to run apps which require a later generation iPod Touch because the later generation iPod Touches have hardware which allow you to run these apps. Jailbreaking only alters the iOS software on the device. You can install any app from the App Store on the 1st Generation iPod Touch (providing you have the latest firmware - 3.1.3). However, not all the features of the app will be available. For example, apps which require voice input via microphone will not work on the 1st Generation iPod Touch due to the lack of a microphone or microphone input support. Apps that require bluetooth connectivity will also not work as presented on the App Store.