Hi again @achin6 ,
So I did some experiments, and this method is not ideal because the students can see each others' submissions, which could be a FERPA or other violation.
In my opinion, Sections are for term-long groups and not for groups formed per assignment. And as you mentioned, some users do not even have the option to add Sections.
Note to Canvas: We need to be able to assign to Groups that we have formed. Those Groups should appear in the Assign to section for all Assignments, not just those that are designated as Group Assignments. This option is an important tool for differentiation and other needs.