With default settings (No Collaboration) you don't need settlements to get more land claim papers, you will still get unrestricted ones like before in Update 9. You can reduce the amount of players needed for a town in the Settlements.eco config file, located in /Steam/steamapps/common/Eco/Eco_Data/Server/Configs.
Change the 3 in "MinCitizensToFoundSettlement" to 2.
The fastest way to apply default settings to your world in regards to the first thing I said is just creating a new world with default settings and any adjustments you may have made in the game, then delete that world and load the old one. The configuration will also apply to that one.