He's been dealing with some kind of recurring back thing. I doubt he's done if he can get past that, all his peripherals are ok. I don't think Toronto would give up on him just yet.
Strict designated for assignment there by Toronto (i.e. claim him he's yours). I've read they'd DFAd him (with no protection) because he's owed $10M through the end of 2013 (with club options through 2016) and they'd hope he could clear waivers because of that.
Whose fault was that signing?
Anthopoulos. But I think the people of Toronto will forgive him, considering he somehow managed to offload the entire Vernon Wells contract.