The paper discusses the various problems related to the current concerns with nonbiased assessment, with particular emphasis on the placement of minority group students in classes for the mildly retarded. Sections address the following topics: special education litigation; underlying issues in court cases (including the meaning of IQ test results, labeling effects, and effectiveness of special education); legislation requiring nonbiased assessment; differing conceptions and empirical results regarding bias in tests; prerequisites to implementation of nonbiased assessment procedures (including multidisciplinary contributions, outcomes criteria, and placement options and effective programs); and specific changes in assessment procedures (such as minimizing the risk of classfication). Among suggestions are that efforts be continued to insure that assessment procedures result in positive benefits for individuals, that the idea of multifactored assessment be implemented, and that nonbiased assessment be viewed as a process rather than a set of instruments. Appended materials include the Guadalupe court decision, P.L. 94-142 (Education for All Handicapped Children Act) rules and regulations regarding assessment and placement procedures, the Northeast Regional Resource Center outline of the nonbiased assessment process, and a rough draft of special education assessment procedures. (SBH)