I spoke with a source close to Alex Shelley this weekend who was able to provide me with an update.
I'm told Shelley wanted to wait for Chris Sabin's contract to conclude with TNA so they could team together in Ring of Honor, Dragon Gate USA and a tour in Japan. However, Shelley legitimately wanted a break and there was never a rush to take those bookings.
When Shelley was contacted by a top WWE star back in May, he originally had no intent of signing as he wanted to wait for Sabin to be brought in as a tag team. There was some positive discussion [with WWE] prior to TNA's lawsuit but with the litigation along Sabin tearing his ACL, Shelley decided to take a break from the business completely.
Shelley has been enjoying time off, is training hard and has enrolled for some classes this fall. My source indicated that Shelley is in a good position with WWE interested in him although he is in no rush to return to the ring.