The Assam University Act was enacted on May 23, 1989 in order to constitute and include   an educational as well as affiliated university to be located at the Assam State and other issues related with such establishment. The Act provides for the constitution of the Assam University. The University shall have its headquarters at Silchar and shall constitute campuses wherever essential. The Chancellor of the Executive Council, Vice-Chancellor of the Academic Council as well as members of the Planning Board appointed first and other officials shall form body corporate under the University constituted under the Act. The University shall have status of the Company with continuous succession and shall have the power to litigate.

The University shall be constituted with the objective to spread and develop knowledge by giving instructions along with research opportunities in various streams of study and to formulate integrated studies in different subjects in educational activities conducted by the University. It shall also take essential steps to uphold interdisciplinary learning and to instruct and give training to persons for advancement of the Assam State. It shall also take special care for the enhancement of social as well as economic situations and benefit of the individuals of the Assam State in their academic, scholastic and artistic growth. The University is entrusted with numerous powers including the authority to give instruction in different streams of studies which shall be specified by the University and to make measures for research added with the development and distribution of knowledge.

In addition, the Act empowers the University to provide diploma, degree, academic merit as well as certificates as per evaluation or other modes of assessment on the persons as per the stipulations prescribed by the University. The University shall also have the power to withdraw the degrees granted by it for good and adequate reason. The University shall conduct and carry out additional mural learning and to provide honorary degrees as provided under the Act. The Act gives power to the University to provide opening in the course of distance mode of learning to the prescribed persons. The University makes out an educational institute for higher studies for the objective that are specified by the university. The Act gives the power to withdraw the recognition granted by it. It shall also identify persons for the purpose of conveying instructions in educational institutes that are included in the University. The Assam University shall appoint teachers on part time basis and establish managerial, ministerial and other place of duty. According to the provisions of the Act, the University is sanctioned to work together and team up with other educational institutions or organizations providing higher studies in the mode and for the objects settled on by the University.

In order to reach the goal enshrined by the University, the University shall constitute campuses, laboratories or other branches for studies and research and learning. It shall grant fellowships, scholarships and other awards for the reasons provided under the Act. Carrying out refresher classes, seminars, symposiums and other activities for tutors and other academicians are the functions of the University. The educational institutions shall be recognized and given self governing status as per the laws related with the University.

The President acts as the Visitor of the Assam University and shall entrust persons to review the functions and activities of the university. The Governor of the Assam State is given the power of Chief Rector of the Assam University. The University is given supremacy to formulate statutes to conduct its functions effectually. The manner of framing statutes is also mentioned in the Act. The present Act determines the stipulations of the service of the persons working in the University. The Chancellor and Vice Chancellor shall be the chief officers of the Assam University. The University shall have the authority to take out difficulties in implementing the provisions of the Act.

The Assam University Act, 1989 was amended by enacting The Assam University (Amendment) Act, 1995.