The deal is worth $48 million and contains an opt out after the first season.
The 31-year-old had spent the past two seasons with the Oakland Athletics before being traded to the Houston Astros mid-season last year. He finished the 2015 campaign with a 7-11 record, while recording a 3.10 ERA and 1.21 WHIP.
He also had made one postseason start with the Astros, going five innings, allowing three runs on five hits and a walk.
His stay in Oakland began in December of 2013 when he would go 20-14 with a 3.12 ERA in 40 starts over two seasons out west. He was an All-Star last season, as well as making one while with Tampa Bay in 2006 and 2008.
He does have a history on the disabled list, most notably in 2011 when he was limited to one start due to a lower-back strain. He would be released, spend one season away from the majors to work on his comeback, and return in 2013 with the Indians.
The Dodgers will now join Kazmir with ace Clayton Kershaw next season, in an attempt to create another dynamic duo at the top of their rotation.