Most of learning of distance learners took place because of assignments that learners prepare following the given schedule. On the other hand, assignments are also a component of formative assessment process in assessment of distance learners. Present study was an attempt to discuss and evaluate the role and skill of personnel and institutions regarding different aspects of assessment of assignments to search out shortcomings in the process. This was a questionnaire based survey study. Respondents of this study were 625 distance learners from one single mode and two dual mode universities in Punjab. It concluded that institutions need attention to promote positive traditions among distance learners and tutors to establish and implement standard rules for quality evaluation of assignments. All distance education institutions are not meeting the criteria to evaluate assignments of learners. Assignment evaluation in teacher education courses was poor as compared to science and arts subjects. Dual mode institutions were performing better than single mode distance education institutions.