Vásquez had been Chivas USA's head coach for one season, in which the team had an 8-18-4 record in MLS play. Chivas USA will now begin a search for a new head coach.
"This was a difficult decision for our organization to make," said Chivas USA Vice President of Soccer Operations Stephen Hamilton. "Everyone at Chivas USA has a great deal of respect for Martín, both as a person and a coach. Unfortunately, after this difficult season came to a close, we decided to move in a different direction. We all wish Martín the very best in the future."
Vásquez was named head coach of Chivas USA on Dec. 2, 2009, having previously served as an assistant coach at the club from 2005-07. In 2008-09, Vásquez was an assistant to Jurgen Klinsmann at Bayern Munich in Germany.
In his one year in charge of Chivas USA, the team finished with an 8-18-4 record in MLS, and advanced to the U.S. Open Cup semifinals.
Chivas USA will begin its search for a new coach immediately as the team starts preparations for the 2011 MLS season.