The 2023 MLS Re-Entry Draft is conducted in two stages, as it has been in previous years. Stage 1 takes place on December 14, 2023, and Stage 2 takes place on December 21, 2023. All 29 existing Major League Soccer club will take part of the 2023 MLS Re-Entry Draft. The draft order was set in reverse order of the 2023 Major League Soccer season standing after completion of the 2023 MLS Cup Playoffs.^[1]

Players 22 year of age or older, with one year in the MLS, who do not have a current contract of Bona Fide Offer are eligible for the 2023 MLS Re-Entry Draft. Players may opt out of the draft by submitting a written notice to the league.^[1]

If a club chooses a player in stage 1 of the Re-Entry draft, that club must either exercise an option for that player or extend them a Bona Fide offer. Clubs may not select any player from their own club who are eligible to be part of the Re-Entry draft. If a player is selected in the Re-Entry draft, and they have a current option on their contract, they will be automatically added to the drafting club's roster. If a club makes a Bona Fide Offer, and the selected player rejects the offer, the drafting club maintains the Right to First Refusal for that player in Major League Soccer.^[1]

Any player not selected by a team in Stage 1 of the Re-Entry draft are available in Stage 2. If a club selects a player in Stage 2 they have seven days to make an offer to the player. If the club and player cannot reach an agreement, the club retains the Right to First Refusal in Major League Soccer. In Stage 2, clubs may not select their own players untio all other clubs decline to select player.^[1]