However, it's believed a new deal is getting closer with the Leafs.
According to TSN Hockey Insider Darren Dreger, speaking during the network's Insider Trading segment on Tuesday night, Phaneuf's "deal will get done to keep him captain of the Maple Leafs."
It has been widely reported that Phaneuf's next contract will be seven or eight years, and worth at least $7 million per season.
Dreger indicated that "it's not quite done yet," but hinted a deal is on the horizon.
The Leafs have roughly $29 million in available salary cap space for next season, though only 12 players are locked up beyond this year.
Since coming to the Leafs during the 2009-10 regular-season in a trade from the Calgary Flames, Phaneuf hasn't tallied more than 44 points in a single campaign.
Phaneuf has picked up two goals and 10 assists for 12 points in 33 games so far this season, and is on pace for 29 points.