Karim Adeyemi's manager has left his position at Dortmund following an altercation with star player Mat Hummels.
Edin Terzic started as an interim manager in 2021 after winning the German Cup, before taking the permanent job in 2022.
The German manager recently took Dortmund to the final of the UEFA Champions League but lost to Real Madrid.
He has agreed to part ways with the club after terminating his contract with immediate effect due to a reported altercation with a player.
Dortmund manager quits
According to reports from the BBC, Dortmund have agreed to Terzic's request to leave his position as manager.
In an interview conducted just days before the Wembley final, the seasoned centre-back questioned the manager's strategies against other elite clubs.
Hummels said: "I was furious because I was of the opinion that Borussia Dortmund shouldn't play like that - against any opponent in the world.
'I didn't think it could go on like this. I felt insulted in my honour to stand on the pitch in that kit. So submissive, so inferior in footballing terms.
"The two Stuttgart games and the away game in Leverkusen. That was barricading with 11 men in the box."
According to German publication Bild, Terzic became angry by the remarks, and a dispute between him and Hummels is said to have escalated into violence.
Dortmund had been debating the sanctions for both when the manager tendered his resignation.
Terzic said after leaving the club, "After the game at Wembley, I asked for a meeting with the club's senior management team, because after nine years at BVB - including six on the coaching staff and two and a half as head coach - I feel that the club's new era should begin with a new man on the touchline.
"Everyone close to me knows that this has been a very difficult decision for me to take over the last few weeks, but after intensive discussions my fundamental feeling has not changed. I wish Borussia Dortmund the very best, thank you and see you soon."
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