2512976 - Cannot connect to ASE when disabling granular permissions – SAP ASE

Receiving the errors below after disabling ASE configuration parameter "granular permissions".

isql -Usa -w300
Password:
Msg 10351, Level 14, State 1:
Server 'SERVERNAME':
Server user id 1 is not a valid user in database 'master'
Msg 4001, Level 11, State 1:
Server 'SERVERNAME':
Cannot open default database 'master'.
Msg 10351, Level 14, State 1:
Server 'SERVERNAME':
Server user id 1 is not a valid user in database 'master'
Msg 4002, Level 14, State 1:
Server 'SERVERNAME':
Login failed.
CT-LIBRARY error:
        ct_connect(): protocol specific layer: external error: The attempt to connect to the server failed.