1. There is a base Option file that gets created for the US version every year and then some people expand on it. Check the pesgaming link that Mad posted.
2. chelsea will show up as North London with No kit in the CL if you don't have an OF. Although, it does add the CL logo on the kits i think
3. Nothing really to be honest. At least not for me anyway. Just play it the way it is out of the box. No really settings changes for me.