The Holland legend will be a free agent and Sportsmail understands that City boss Roberto Mancini sees some value in having the Dutchman in his squad next season.
Discussions have taken place to explore the possibility of bringing Seedorf, 35, to Eastlands in the belief that City will be playing in the Champions League for the first time next season.
Serial winner: Clarence Seedorf has lifted the Champions League trophy on four occasions
Seedorf, who has made 117 Champions League appearances, is the only player to win the competition with three different clubs, having lifted the European Cup with Ajax in 1995, Real Madrid in 1998 and with Milan in both 2003 and 2007.
At the weekend he said there was still the possibility of an offer of a new contract from Milan.
'I am hearing a lot of rumours,' he said. 'But I am awaiting an offer from Milan as there are some concrete offers on the table from Brazil and other clubs. But I will firstly think about the Scudetto before my future.'
Dutch of class: Seedorf was on target against Fiorentina in Serie A last weekend
City's rivals for a Champions League place next season, Tottenham, have been warned they must summon up their strength to ensure another top-four finish or risk losing top players like Gareth Bale and Rafael van der Vaart.
Spurs' Champions League adventure will end unless they can overturn a 4-0 first-leg deficit in their quarter-final against Real Madrid at White Hart Lane.
Goalkeeper Heurelho Gomes said: 'When you play Champions League every player wants to sign for Spurs. Maybe without Champions League it's a little bit difficult to sign very good players and also to keep the best players. It is important to keep players like Gareth Bale.'
Strong-arm tactics: Seedorf, 35, in action against Tottenham in this season's competition
Tottenham have a daunting domestic run-in with games against top-four rivals Chelsea, Arsenal and City still to play but Gomes said: 'We have beaten them before, last season, and we can do it again.'
Spurs defender Vedran Corluka and Stoke striker Ricardo Fuller have escaped FA punishment for their angry confrontations with fans during last Saturday's game.
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Explore more:People: Roberto Mancini, Gareth Bale Places: Milan, The Netherlands, Brazil