The news comes after Bryden and an unnamed partner tabled an offer for the Senators on February 10 that was accepted by the franchise.
However, it now appears that a court has decreed that the Senators should make themselves open to new bidders.
After lengthy negotiations Bryden said he wouldn't make a new offer for the team that he's controlled since 1993, even though he would be allowed to bid.
He said: "Those who are bidding will recognize that this is the best place to have a team. I'm more likely to help the team be here by doing that than by trying to scramble around in two months to find what took me a year to find."
According to the court monitor, the original Bryden bid 'contained a number of specific milestone dates' and 'as a result of various defaults and noncompliance with certain milestones, the monitor has terminated the agreement'.
It added that any sale will need approval of the bankruptcy court.
