The Alouettes also received a sixth-round pick in this year's draft in exchange for free safety William Loftus.
"Terry Vaughn is a receiver who can have a direct impact on the outcome of a game," said Alouettes vice-president and general manager Jim Popp. "This is an excellent acquisition for our offence and for our entire team."
Set to play in his 11th CFL campaign, Vaughn holds the league record with 10 seasons with at least 1,000 yards receiving.
The Edmonton Eskimos dealt receiver Terry Vaughn to the Montreal Alouettes on Thursday. (CP File Photo)
Last season, Vaughn caught 78 passes for 1,062 yards and two touchdowns.
Vaughn leaves Edmonton after a successful stint with the Eskimos. Vaughn was named to the West Division's all-star team in eight consecutive seasons (1996-2003) and he was also a three-time CFL all-star (1998, 2001 and 2002).
Montreal used the sixth-round pick it received from the Eskimos to select Adam Eckert, a wide receiver from Dickinson State University in North Dakota.
with files from Canadian Press
