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Harrison, NJ (Sports Network) - Red Bull New York announced on Friday that the team has reached an agreement with midfielder Victor Palsson to mutually terminate his contract.

Palsson has been on loan at Dutch side NEC Nijmegen since Aug. 29, and before that, he appeared in 16 games for New York, including four starts, in his first season for the club.

The 21-year-old joined New York from Scottish side Hibernian, but has established himself as a key member of NEC's squad since moving to the Netherlands as he has scored two goals in 12 appearances.

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