To be 'quits with' someone is to no longer have a connection with them to be dealt with. That connection could be monetary (as implied in the Japanese) or one of a relationship.
I have never heard this in U.S. English, but the Free Dictionary gives the following definition and example, supporting Paul's comment: "On even terms with by payment or requital: I am finally quits with the loan." However, expect puzzlement or confusion if you use "quits" in this sense in the U.S., though there is a familiar but distinct expression "to call it quits", meaning that you're abandoning an activity for any reason whatsoever.
I am the inspiration for this phrase...
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