Disposal is operating (turning)but not breaking up anything nor is the water draining

1
Allow the current cycle to complete. Draining will occur at the end of the cycle.
2
Close and latch the door. The dishwasher will not drain if the door is not properly secured.
Press the "Cancel/Drain" button on the dishwasher to start a two-minute drain cycle.
4
Remove the knockout plug in the disposer outlet of the garbage disposal if the dishwasher drains into the disposal. Turn off the water supply and remove the drain hose from the disposal. Place the tip of a screwdriver on the plug and tap it lightly with a hammer to remove it. Replace the drain hose and turn the water supply on.
Clogged Drain
5
Run the garbage disposal to empty it and clear the drain if the dishwasher drains into the disposal.
6
Remove the cover on the air gap on the sink or countertop. Turn the plastic cap counterclockwise to remove it. Remove soil from the inside of the air gap. Replace the plastic cap and cover.
7
Check the sink. Dishwashers connected to a sink will not drain if the sink drain is clogged. Unclog the sink. Contact a plumber, if needed.
Issues With the Drain Hose
8
Check to see if there is a loop in the drain hose. The loop cannot be more than 20 inches above the floor. Disconnect the hose and loop it just above the floor. Reconnect the drain hose.
9
Remove kinks in the drain hose. Always use the new drain hose included with the dishwasher. Do not reuse old hoses.
10
Check the length of the drain hose. The hose should be less than 12 feet long. Replace with a shorter hose, if needed.

1) If disposal will not drain: Clean the tubular drain under sink.
Remove 2 nuts on p-trap, and trap falls loose, then remove tailpiece on side of disposal, hand rag over opening to direct water downward, turn on water, turn on disposal and see if disposal empties, clean p-trap, and then reassemble tubular drain.

2) If disposal will not drain and will not run: Clean tubular drain, check for power to disposal.
If disposal is getting power and will not run, and reset button is not tripped out, and cutter disk rotates freely, then disposal is bad.

I wrote ez disposal replacement steps that include tips for tubular drain.
http://www.fixya.com/support/r7929008-replace_garbage_disposal

Where is leak coming from?
From the pipes or from bottom of disposal?
If leak is coming from tubular drain pipe or around dishwasher connection, then clean out disposal and repair connections.
If leak is at bottom of disposal, then disposal is probably rusted out and needs replacement.

To solve high water issue and leaking pipes.
Loosen 2 nuts on P-trap and trap falls loose. Then remove tailpiece that connects to side of disposal. Hang rag over opening on side of disposal so water is directed downward, then turn on water and disposal and flush out the clog. Clean trap and tubular drain, and then reassemble.

I wrote ez disposal replacement steps, that also show how to take apart and reassemble tubular drain pipes:
http://www.fixya.com/support/r7929008-replace_garbage_disposal

A couple of things to check. First did you recently install a garbage disposal? If so there is a plastic cap on the disposal that the drain line hooks into that needs to be removed. You can do this by removing the drain hose from dishwasher and taking a flat head screw driver and pushing it into the disposal. Second remove the hose from the pump and see if anything is blocking it. See if it goes into the drain cycle. If it does and the water is not leaving the dishwasher than it sounds like the pump may be out. If it does not even try to pump the water out than it may be in the timer. Check and see if anything is restricting the water flow first.

It is full of hard stuff that does not allow the water to get through...see if you have a small tool under the sink connected to the disposal and put it under the unit and make few turns first to see if anything hard is stuck inside i.e. spoon, fork, etc. and push the red button at the bottom of the unit too to reset it and start it and see if that work, you may need to do it few times...make sure that you have nothing hard inside first that will brake it...let me know if that work and please remember to rate my service so I am able to continue provide quality service and improve on it with your help. God bless

Your dishwasher is siphoning the water out. The drain hose should turn upward, nearly to the bottom side of the counter top, before it attaches to the drain or disposal. If it has an independant drain it still needs the rise and also needs an air break to stop the siphoning.

It's a drain clog within the disposal. Try a drain cleaner, if no luck, you will likely need to replace it.

Hello, turn on the disposal without water and pour hot water into disposal. Be careful not to let it splash back on you! If this doesn't help you have to remove the drain and drain trap and clean them out. If you need more help let me know. Good luck.

clear the drain its self below the disposal

IF THE WATER IS NOT IN THE BASIN OF THE DISPOSAL, THE PLUMBING IS THE PROBLEM, NOT THE DISPOSAL.
YOU CAN TRY TO TAKE THE TRAP LOOSE AND SEE IF THERE IS ANYTHING STUCK IN IT OR YOU COULD TRY SOME DRANO IN THE SINK WITH THE WATER STANDING IN IT. THE TRAP IS THE PART OF THE DRAIN THAT RAISES UPWARD TO HOLD WATER. IT KEEPS THE SEWER GASSES FROM COMING UP THROUGH, BUT IT ALSO IS A GOOD CATCH ALL FOR HEAVY ITEMS AND GREASE.
LOOSEN THE NUT LOCATED AT EACH END OF THE TRAP. HAVE A BUCKET UNDER IT TO CATCH ANY WATER THAT DRAINS OUT. REMOVE THE TRAP AND SEE IF THERE IS AN OBSTRUCTION IN IT.PRESSURIZED AIR WILL SOMETIMES CLEAR AN OBSTRUCTION IN A DRAIN LINE ALSO,