The Guardians declined Stephan's $7.25 million club option for 2027 on Friday, Tim Stebbins of MLB.com reports.
Stephan hasn't appeared in an MLB game since 2023 and ended the season at Triple-A with a 10.32 ERA over 22.2 innings, making it easy to see why the Guardians passed on his option. Now a free agent, the 30-year-old righty's next opportunity will likely come in the form of a minor-league deal.