The Winnipeg native, who came to the Habs in February in a trade with Vancouver, was scheduled to be a restricted free agent.
"The acquisition of Dale Weise contributed to the success of our team this season," Canadiens general manager Marc Bergevin said in a statement. "A young veteran with a lot of character, Dale is an intense player with a strong work ethic. We’re very pleased to have him as part of our team moving forward."
Weise was dealt for Raphael Diaz, and finished with six goals and 10 assists in 61 regular season games, with 59 penalty minutes.
Weise provided timely scoring and energy in Montreal's post-season run with three goals and four assists in 16 games. The right wing got the ball rolling for the Canadiens with an overtime goal against Tampa Bay in Game 1 of the playoffs.
Things ended on a sour note for Weise, who suffered an apparent head injury in the Eastern Conference final against the New York Rangers. New York defenceman John Moore was suspended as a result of the play, and Weise missed Montreal's final playoff contest.
Weise, 25, was originally selected by the Rangers in the 2008 draft.
Financial terms were not released by the club.