In his first spell at the Amex Stadium after arriving from Spanish club Almeria in 2013, Ulloa netted 26 goals in 58 games.
"I wasn't here during his first spell at the club, but I know he was very well thought of by all concerned, including the club's supporters," Brighton boss Chris Hughton said in a statement.
"He's achieved a great deal since he left, including winning a Premier League title, and his experience at this level will be hugely beneficial to us."
Ulloa scored 20 goals for Leicester, including six during the club's Premier League title-winning campaign in 2015-16.
(Reporting by Hardik Vyas in Bengaluru, editing by Ed Osmond)
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