Kenny Dalglish is understood to be ready to quit Liverpool if the Fulham manager Roy Hodgson succeeds Rafael Benitez.
The Anfield club have insisted that Dalglish's role in leading the search for the Spaniard's replacement with managing director Christian Purslow precludes him from being considered for his second stint in charge.
But the former striker clearly covets the managerial position and is so averse to the idea of Hodgson being appointed that he has informed the board that he cannot support their preferred candidate.
Dalglish believes he is best placed to lead Liverpool through a difficult period, when they lack the funds to match the bigger spending Premier League clubs and are seeking a new buyer.
The Scot returned to Anfield last year in a role which included responsibility for the club's academy and general ambassadorial duties.
His departure would be a personal blow to Purslow, having formed a close link with the managing director.
But Hodgson is the front runner to replace Benitez because the Liverpool hierarchy want some kind of normality restored after the friction-filled Benitez years.
There are some question marks among the Liverpool players about Hodgson's pedigree as the manager of a club of such stature, but the club value his European record.
However, Daniel Agger and Pepe Reina have declared their ongoing loyalty to the club despite Benitez's departure and Martin Skrtel believes the club can move forward now the uncertainty surroundings Benitez's future has been resolved after a poor season.
Hodgson could be appointed Liverpool manager within the next two weeks but there are also reports that Manuel Pellegrini, the former Real Madrid manager, is also being considered as a candidate.