Leaking brakes, re-flare?
There should not be any brake fluid in the switch cavity (pink)
There is a bypass port if the rear has pressure but the front does not but it should only come in to play of the fronts have no pressure. (Yellow note)
The piston can only move enough to contact the switch and does not block any ports.
If the switch is not grounded without the brake being applied and not grounded when you apply the brakes then it is either frozen in the middle or functioning properly.
As for leaks, have you pinpointed the location to a specific point or a generalized location.