During the three decades of the Republic of China, even under constant political turbulences, higher education was not interrupted and instead achieved unprecedented progress, in the area of western literature teaching. Beijing University, Tsinghua University, and National Southwestern Associated University cultivated a generation of influential scholars and experts in western literature education. To understand the influence of English literature education and dissemination of English literature works on the Chinese modern literature, this paper reviews the English literature education activities at famous universities in the era of the Republic of China. The results show that Yenching University offered bilingual courses to enhance students’ interests in language and literature in a conductive learning environment. Tsinghua University, aiming to cultivate “scholars of profound knowledge”, set up language and literature courses, and improved student’s capacity of language and English literature research under proper guidance of faculty. National Southwestern Associated University, integrated by Beijing University, Tsinghua University, and Private Nankai University, offered diversified teaching methods in English literature. Dissemination of English literature works by faculty and graduates at the Republic of China era has contributed to the development of literature translation and theoretic research back then.