The old "Freedom of Contract" Doctrine has been somewhat diminished over the years due to legislative action, like if a do gooder thinks "Yeah that's what they freely agreed to but I find it unfair so in my superior all knowing wisdom (although not a party to the contract) its null and void" Something like that, get the picture???
Some states have adopted some form of "Sales Disclosure" to in theory protect home buyers from home sellers whereby even a "sold as is contract" may be open (depending on law and facts) for attack and judicial set aside IN SOME SITUATIONS. Similar to above, that's considered by some to be an attack on the old common law doctrine of Caveat Emptor (let the buyer beware)
Heres the deal, as an attorney I can likely draft an "as is" contract along with a "Sales Disclosure" that may well satisfy BOTH the common law as is (Freedom of Contract) PLUS any statutory "Sales Disclosure" and be legal and binding. HOWEVER it would be in plain English in bold and capitals (no fine print or legal schmegal lol) with the parties expressly stating they understand and agree and wish to be bound............... Sure, I couldn't guarantee it is 100% enforceable, but I could use all my expertise and experience and study of the states law to give it my best shot...........
HOWEVER if say a Realtor (Or Billy Bob and Bubba advised) used some sort of a standard fill in the blank forms IT MAY OR MAY NOT stand as good of a chance of surviving.
FINALLY to answer your question would require a thorough research of your states laws with regards to as is contracts coupled with any Sales Disclosure Statutes and all the relevant facts. Absent that I wouldn't bet the farm on anyones unresearched opinions be they lay or professional
I personally subscribe to the doctrine of Freedom of Contract PROVIDED THAT theres no fraud or outright misrepresentation or duress or undue influence present etc. However, I see how a well drafted Sales Disclosure can play a part in protecting against a purposely deceptive seller. TAKE IT UP OR ARGUE WITH YOUR STATES LEGISLATORS NOT ME Im ONLY trying to provide a good answer to the post.
As always, the best advice is to consult a local trained professional expert in these situations NOT what I or anyone (absent a thorough research of your states laws and cases) has to say here.
PS in regards to a cracked foundation and sales disclosure and as is contracts THE ISSUE IS NOT IF IT CRACKED LATER BUTTTTTTTTTTTTT IF THE SELLER HAD KNOWLEDGE AS TO A PROBLEM AND PURPOSELY LIED ABOUT IT OR CONCEALED IT. Theres not so much of an "as is" contract problem BUT THERE IS A PROBLEM if theres fraud or misrepresentation or outright lying by the seller and such doesnt require any statutory Sales Disclosure form to correct it, even common law contract principles protect against fraud or misrepresentation. Even a strict Freedom of Contract believer wouldn't support outright fraud in my opinion. If the seller honestly wasn't aware of a problem,,,,,,,,,,, and if the as is contract was correctly drafted,,,,,,,,,,,, and the Sales Disclosure was complete and honest,,,,,,,,,,,,,,, if the foundation cracked and I got to choose who I represented ID TAKE THE SELLERS CASE.
NOTE there are always exceptions, so don't take the above to the bank either, it may be incorrect, I cant explain what may take books to describe here in a paragraph and cover every possible situation SO NO WARRANTY consider it as dead wrong if you like.
Happy Labor day yall and God Bless
John T Country Lawyer