A Louth statement said All-Ireland winning manager Harte and coach Gavin Devlin will take over at Derry with “immediate effect”.
He will replace Ciaran Meenagh, who took over as manager for this year’s Ulster final victory against Armagh after Rory Gallagher stepped aside.
Harte, who led Tyrone to three All-Ireland titles, became Louth manager after leaving Tyrone in 2020.
After stepping in as interim manager, Meenagh led Derry to the All-Ireland semi-finals but ruled himself out of taking the job on a permanent basis.
Derry have now moved for the services of Harte, who won three All-Irelands and six Ulster championships in 18 years as manager of the Red Hands.
He joined Louth in 2020 after leaving his native county, and guided his new team to back-to-back promotions which took them to Division Two, where they finished third last season.
Harte and Devlin had signed an extension to remain at Louth until 2025, but their term has now ended early.
“Louth GAA Management Committee would like to sincerely thank Mickey, Gavin and his backroom team for their efforts in propelling Louth Senior Footballers into Div. 2 football from Div. 4 in 2020,” said a Louth GAA statement.
“They have shown professionalism, enthusiasm, dedication and continued courtesy over the last three years and we have enjoyed a positive working relationship with Mickey and his management team, which concluded in the group stages of the All-Ireland following a first Leinster Final Appearance since 2010.
“Louth GAA would like to wish Mickey, Gavin and his Management Team all the best in their future endeavours.”
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