The defender is the Glovers’ third capture of the weekend and has put pen to paper on a contract until June 2019.
Barnet-born Donnellan, son of former Fulham and Republic of Ireland youth international Leo, arrives having spent the first half of the season on loan at Sky Bet League One outfit Walsall.
Manager Darren Way said: “Coming down from a division higher and with his international experience, Shaun is a fantastic addition to the squad and has a bright future.
“He’s been playing with former Glover Joe Edwards so he’ll have heard good things about the club and I look forward to working with him.”
Having come through West Brom’s Academy and penning a first professional contract in 2015, he gained experience on loan at Worcester City before a successful temporary stint at Dagenham and Redbridge where he almost helped the Daggers win promotion back to the EFL.
West Brom extended the 21-year-old’s contract for another campaign in the summer and the Ireland Under-21 centre-back enjoyed plenty of playing time at the Bescot Stadium during his loan stint.
Now moving on to pastures new with Yeovil, Donnellan bolsters the Green and Whites defensive choices.