Kelly was in camp on a Minor League contract with a Spring Training invitation. He had a clause in his deal that enabled him to seek other opportunities if he was informed he wouldn't make the big league club by Tuesday.
Kelly batted .250 in 18 games this spring. An all-purpose utility specialist, Kelly played all over the infield in Spring Training.
A year ago, Kelly made Miami's Opening Day roster, but early in the season he fractured a bone in his right hand. In his recovery period, he ended up suffering an elbow injury, undergoing Tommy John surgery last July.
After releasing Kelly, manager Don Mattingly spoke highly of Kelly, noting his versatility.
The Marlins have a couple of other players with out clauses in their non-roster contracts -- lefties Craig Breslow and Chris Narveson -- on Thursday.
Joe Frisaro is a reporter for MLB.com. He writes a blog, called The Fish Pond. Follow him on Twitter @JoeFrisaro and listen to his podcast. This story was not subject to the approval of Major League Baseball or its clubs.