The move came a little more than a week after the A's designated the veteran left-hander for assignment.
Francis was scheduled to fly to Baltimore on Friday and join the Yankees for their weekend series against the Orioles at Camden Yards.
Francis, 33, is 70-80 with a 4.95 ERA over 10 major league seasons with Colorado, Kansas City, Cincinnati and Oakland. The Rockies selected him as the ninth overall pick in the 2002 first-year player draft, and Francis posted a combined record of 44-32 in his first three full seasons with the team before shoulder problems began to take a toll on his career.
Oakland claimed Francis off waivers from Cincinnati on May 18. He went 0-1 with a 6.08 ERA in 13 1/3 innings with the A's before being designated for assignment when reliever Eric O'Flaherty came off the disabled list July 3.