Oldham have terminated Callum Dolan's contract with immediate effect after he was sentenced to eight months in a young offender institution.
The 18-year-old has been locked up after leading police on a 98mph chase on the M60 near Ashton-under-Lyne last month when he was spotted texting at the wheel.
Police dashcam footage shows Dolan tearing away from officers in a black Renault Clio on August 10 before clipping railings and trying to make off on foot.
The former Manchester United academy player had signed for Oldham just nine days beforehand and the League Two club has now terminated his contract.
Greater Manchester Police traffic Twitter account tweeted dashcam footage of the chase and linked to a court report on the Manchester Evening News website.
The newspaper reported the teenager was already banned from driving after another police chase when he was intoxicated at the wheel.
According to the MEN, Judge John Edwards told Dolan: "You are your own worst enemy. The ink was barely dry on that professional contract you signed when you attempted to out-run a police BMW. It was crass stupidity and a highly dangerous piece of driving.
"You have the whole world at your feet literally and metaphorically and I recognise you are a talented young man but driving in that way can only mean immediate custody."
Dolan, of Stockport, admitted dangerous driving and driving whilst disqualified.
A statement on the club's website read: "Oldham Athletic can confirm that Callum Dolan has had his contract terminated with immediate effect.
"Following the police investigation and sentencing the club were left with no other alternative than to terminate his contract due to the seriousness of the offences.
"The club will be making no further comment on the matter."
