Like people above said, be sure to report any names you see that are inappropriate or offensive.
Just to go into some more detail- When you select the “Nearby Players Tab” (single head silhouette) at the top of the player menu, you will see all nearby players in your vicinity. You can then click on the players name (in this case the one with the inappropriate name) and select “Report”. This will bring up a pop up that you can then add additional information to to describe the event. This report gets sent directly to the dev team along with some other information (like other players nearby) so we can follow up on the report.
This information can also be found inside the “Help” section of the player menu (The “i” icon) along with some other FAQ of the game.