Teachers are reporting the same issue here. I must say I find Canvas' response unacceptable.
I know this is a Google product and perhaps the issue is 100% on their end, but to the end-user, the LTI is [ a part of ] Canvas. I truly expect stronger advocacy from Canvas with Google Assignment Support. At least more than the response I received, "We suggest initiating contact with google Support in regards to this issue. Please check out our Canvas Community site for guides/answers to frequently asked questions and contact us should you have other questions regarding Canvas".
The Google support link goes to a page where you can search for help by topic. Guess what, no results returned. I'm here in the community and there are no answers.
So what's the next move? What should the teacher and hundreds of students impacted do now?
Canvas proudly touted this LTI on the front-end, but on the backend-it is extremely difficult to get support.
Disappointed.
P.S. One poster mentioned the message below from Canvas, however, the assignment does not get created:
"The assignment should still however be created after clicking on the "I Understand, Continue" button."
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