Franjic's departure comes after another injury-hit season, as Brisbane coach John Aloisi seeks to shake off the 'Dad's Army' image and refresh an ageing squad.
The 30-year-old played 115 times for Brisbane between 2009 and 2014, winning three A-League Championships before an impressive 2014 World Cup performance led to spells in Russia and South Korea.
He made 16 appearances for the Roar last season, scoring twice.
"On behalf of Brisbane Roar FC, I'd like to thank Ivan for his commitment and invaluable contribution to our club," Aloisi said.
"He'll forever be remembered as an integral member of those Championship-winning teams that brought so much joy to our supporters.”