A league statement read: "MLS clubs acquiring Dispersal Draft players must take players at their full 2015 budget charges and options must be exercised, including any associated transfers or loans.
"Players unselected in today's Dispersal Draft will take part in the Re-Entry Draft, if eligible, or will be made available via the Waiver Draft on Dec. 10."
32-year old goalkeeper Kennedy, who has been Chivas' undisputed number one since 2011, was snapped up by Dallas who landed the top pick via a weighted envelope system.
Behind him in the draft were six other players all under the age of 24 while there were a high number of passes by other MLS clubs.
Below are the results of the 2014 Dispersal Draft:
1. Dan Kennedy, GK. (FC Dallas) 2. Matthew Dunn, M. (New York City FC) 3. PASS (Sporting Kansas City) 4. Thomas McNamara, F/M. (DC United) 5. PASS (New England Revolution) 6. Donny Toia, D. (Montreal Impact) 7. PASS (Orlando City SC) 8. Caleb Calvert, F (Colorado Rapids) 9. Kristopher Tyrpak, F (San Jose Earthquakes) 14. Marco Delgado, M (Toronto FC) *All other selections were passes
For breaking stories and all the great banter like us on Facebook: facebook.com/tribalfootball